Delaware
|
13-3275609
|
|
(State
or other jurisdiction of
|
(I.R.S.
Employer
|
|
incorporation
or organization)
|
Identification
No.)
|
|
551
Fifth Avenue, New York, New York
|
10176
|
|
(Address
of Principal Executive Offices)
|
(Zip
Code)
|
Title
of each class
|
Name
of exchange on which registered
|
Common
Stock, $.001 par value per share
|
The
Nasdaq Stock Market
|
Large
accelerated Filer o
|
Accelerated
filer x
|
Non-accelerated
filer o
|
Smaller
Reporting Companyo
|
Page
|
||
Note
on Forward Looking Statements
|
||
PART
I
|
||
Item
1.
|
Business
|
1
|
Item
1A.
|
Risk
Factors
|
16
|
Item
1B.
|
Unresolved
Staff Comments
|
21
|
Item
2.
|
Properties
|
22
|
Item
3.
|
Legal
Proceedings
|
23
|
Item
4.
|
Submissions
of Matters to a Vote of Security Holders
|
23
|
PART
II
|
||
Item
5.
|
Market
for Registrant’s Common Equity and Related Stockholder Matters and Issuer
Purchases of Equity Securities
|
24
|
Item
6.
|
Selected
Financial Data
|
26
|
Item
7.
|
Management’s
Discussion and Analysis of Financial Condition and Results of
Operations
|
27
|
Item
7A.
|
Quantitative
and Qualitative Disclosures About Market Risk
|
38
|
Item
8.
|
Financial
Statements and Supplementary Data
|
40
|
Item
9.
|
Changes
in and Disagreements With Accountants on Accounting and Financial
Disclosure
|
40
|
Item
9A.
|
Controls
and Procedures
|
41
|
Item
9AT.
|
Controls
and Procedures
|
42
|
Item
9B.
|
Other
Information
|
42
|
PART
III
|
||
Item
10.
|
Directors,
Executive Officers and Corporate Governance
|
43
|
Item
11.
|
Executive
Compensation
|
49
|
Item
12.
|
Security
Ownership of Certain Beneficial Owners and Management and Related
Stockholder Matters
|
61
|
Item
13.
|
Certain
Relationships and Related Transactions, and Director
Independence
|
65
|
Item
14.
|
Principal
Accountant Fees and Services
|
66
|
PART
IV
|
||
Item
15.
|
Exhibits
and Financial Statement Schedules
|
68
|
FINANCIAL
STATEMENTS
|
F-1
|
|
SIGNATURES
|
Brand
Name
|
Licensed
Or
Owned
|
Date
Acquired
|
Term,
Including Option and Repurchase
Periods
|
|||
Burberry
|
Licensed
|
July
2004
|
12.5
years and additional 5-year optional term that requires mutual
consent
|
|||
Lanvin
|
Owned
|
July
2007
|
N/A.
Prior owner has the right to repurchase the brand names and trademarks
in
2025 according to a formula.
|
|||
S.T.
Dupont
|
Licensed
|
July
1997
|
Through
June 30, 2011.
|
|||
Paul
Smith
|
Licensed
|
Dec.
1998
|
12
years
|
|||
Nickel
|
Owned
|
April
2004
|
N/A
|
|||
Christian
Lacroix
|
Licensed
|
March
1999
|
11
years
|
|||
Quiksilver/Roxy
|
Licensed
|
March
2006
|
Through
December 31, 2017
|
|||
Van
Cleef & Arpels
|
Licensed
|
Oct.
2006
|
Through
December 31, 2018, plus a 5-year option if certain sales targets
are
met
|
·
|
Simultaneous
discussions with perfume designers and creators (includes analysis
of
esthetic and olfactory trends, target clientele and market communication
approach);
|
·
|
Concept
choice;
|
·
|
Produce
mock-ups for final acceptance of bottles and
packaging;
|
·
|
Receive
bids from component suppliers (glass makers, plastic processors,
printers,
etc.) and packaging companies;
|
·
|
Choose
our suppliers;
|
·
|
Schedule
production and packaging;
|
·
|
Issue
component purchase orders;
|
·
|
Follow
quality control procedures for incoming components;
and
|
·
|
Follow
packaging and inventory control
procedures.
|
·
|
Independent
perfumery design companies (Federico Restrepo, Fabien Baron, Aesthete,
Ateliers Dinand);
|
·
|
Perfumers
(IFF, Firmenich, Robertet, Quest, Givaudan, Wessel Fragrances) which
create a fragrance consistent with our expectations and, that of
the
fragrance designers and creators;
|
·
|
Contract
manufacturers of components such as glassware (Saint Gobain, Saverglass,
Pochet, Nouvelles Verreries de Momignie), caps (MT Packaging, Codiplas,
Risdon, Newburgh) or boxes (Printor Packaging, Draeger, Dannex
Manufacturing);
|
·
|
Production
specialists who carry out packaging (MF Production, Brand, CCI, IKI
Manufacturing) or logistics (SAGA for storage, order preparation
and
shipment).
|
· |
Sephora
|
· |
Marionnaud
|
· |
Nocibé
|
· |
Galeries
Lafayette
|
· |
Printemps
|
Year
Ended December 31
|
||||||||||
2007
|
2006
|
2005
|
||||||||
North
America
|
$
|
115,400
|
$
|
107,400
|
$
|
81,800
|
||||
Europe
|
173,200
|
128,300
|
116,800
|
|||||||
Central
and South America
|
28,200
|
24,500
|
21,800
|
|||||||
Middle
East
|
26,100
|
21,900
|
19,800
|
|||||||
Asia
|
43,900
|
37,700
|
32,200
|
|||||||
Other
|
2,800
|
1,300
|
1,100
|
|||||||
$
|
389,600
|
$
|
321,100
|
$
|
273,500
|
Year
Ended December 31
|
||||||||||
2007
|
2006
|
2005
|
||||||||
United
States
|
$
|
113,000
|
$
|
104,000
|
$
|
80,000
|
||||
United
Kingdom
|
28,000
|
28,000
|
26,000
|
|||||||
France
|
30,000
|
21,000
|
17,000
|
·
|
Burberry
|
·
|
Gap
(United States and Canada only)
|
·
|
Banana
Republic (United States and Canada
only)
|
·
|
New
York & Company
|
·
|
Brooks
Brothers
|
·
|
S.T.
Dupont
|
·
|
Paul
Smith
|
·
|
Christian
Lacroix
|
·
|
Van
Cleef & Arpels
|
·
|
Quiksilver
and Roxy
|
·
|
Jordache
|
·
|
Lanvin
|
·
|
Intimate
|
·
|
Aziza
|
·
|
Nickel
|
·
|
Regal
Collections, Royal Selections, Euro Collections and
Apple
|
·
|
difficulties
in assimilating acquired operations or products, including the loss
of key
employees from acquired businesses;
|
·
|
diversion
of management’s attention from our core business;
|
·
|
adverse
effects on existing business relationships with suppliers and customers;
|
·
|
risks
of entering markets in which we have no or limited prior experience;
|
·
|
dilutive
issuances of equity securities;
|
·
|
incurrence
of substantial debt;
|
·
|
assumption
of contingent liabilities;
|
·
|
incurrence
of significant amortization expenses related to intangible assets
and the
potential impairment of acquired assets; and
|
·
|
incurrence
of significant immediate write-offs.
|
Use
|
Location
|
Approximate
Size
|
Annual
Rent
(All
are subject
to
escalations,
except
where
noted)
|
Term
Expires
|
Other
Information
|
|||||
Office
Space-corporate headquarters and United States operations
|
551
Fifth Avenue, New York, NY.
|
11,000
square feet
|
$446,000
|
February
28, 2013
|
||||||
Distribution
center
|
60
Stults Road
Dayton,
NJ
|
140,000
square feet
|
$684,000
|
October
31, 2010
|
||||||
Office
Space-Paris corporate headquarters and Paris based
operations
|
4 Rond
Point Des Champs Elysees
Ground
and 1st Fl. Paris, France
|
571
square meters
|
347,000
Euros
|
March
2013
|
Lessee
has early termination right every 3 years on 6 months
notice
|
|||||
Office
Space-Paris corporate headquarters and Paris based
operations
|
4 Rond
Point Des Champs Elysees
4th
Fl.
Paris,
France
|
531
square meters
|
287,000
Euros
|
June
2014
|
Lessee
has early termination right every 3 years on 6 months
notice
|
|||||
Office
Space-Paris corporate headquarters and Paris based
operations
|
4 Rond
Point Des Champs Elysees
5th
Fl- left
Paris,
France
|
155
square meters
|
85,000
Euros
|
March
2013
|
Lessee
has early termination right on 3 months notice
|
|||||
Office
Space-Paris corporate headquarters and Paris based
operations
|
4 Rond
Point Des Champs Elysees
6th
Fl-Right
Paris,
France
|
157
square meters
|
92,000
Euros
|
March
2013
|
Lessee
has early termination right every 3 years on 6 months
notice
|
|||||
Office
Space-
Paris
Accounting and Legal
|
39
avenue Franklin Roosevelt,
2nd
Floor
Paris,
France
|
360
square meters
|
178,800
Euros
|
December
2014
|
Lessee
has early termination right every 3 years on 6 months
notice
|
|||||
Men’s
Spa
|
48
Rue des Francs Bourgeois,
Paris,
France
|
116
square meters
|
44,000
Euros
|
June
2011
|
Lessee
has early termination right every 3 years on 6 months
notice
|
|||||
Men’s
Spa
|
Unit
C2, 300 West 14th Street, New York, N.Y.
|
4,500
square feet
|
$286,800
|
October
31, 2009
|
5-year
term option term
|
Fiscal
2007
|
High Closing Price
|
Low Closing Price
|
|||||
Fourth
Quarter
|
$
|
21.29
|
$
|
17.75
|
|||
Third
Quarter
|
$
|
29.18
|
$
|
20.44
|
|||
Second
Quarter
|
$
|
27.31
|
$
|
20.13
|
|||
First
Quarter
|
$
|
26.46
|
$
|
16.42
|
Fiscal
2006
|
High Closing Price
|
Low Closing Price
|
|||||
Fourth
Quarter
|
$
|
21.77
|
$
|
17.63
|
|||
Third
Quarter
|
$
|
19.56
|
$
|
15.75
|
|||
Second
Quarter
|
$
|
19.99
|
$
|
15.39
|
|||
First
Quarter
|
$
|
20.38
|
$
|
17.07
|
Years
Ended December 31,
|
||||||||||||||||
(In
thousands except per share data)
|
2007
|
2006
|
2005
|
2004
|
2003
|
|||||||||||
Income
Statement Data:
|
||||||||||||||||
Net
Sales
|
$
|
389,560
|
$
|
321,054
|
$
|
273,533
|
$
|
236,047
|
$
|
185,589
|
||||||
Cost
of Sales
|
160,137
|
143,855
|
115,827
|
113,988
|
95,449
|
|||||||||||
Selling,
General and Administrative
|
181,224
|
141,074
|
126,353
|
89,516
|
64,147
|
|||||||||||
Operating
Income
|
47,331
|
36,125
|
31,353
|
32,543
|
25,993
|
|||||||||||
Income
Before Taxes and Minority Interest
|
47,276
|
37,135
|
31,724
|
31,638
|
26,632
|
|||||||||||
Net
Income
|
23,817
|
17,742
|
15,263
|
15,703
|
13,837
|
|||||||||||
Net
Income per Share:
|
||||||||||||||||
Basic
|
$
|
1.16
|
$
|
0.87
|
$
|
0.76
|
$
|
0.82
|
$
|
0.73
|
||||||
Diluted
|
$
|
1.14
|
$
|
0.86
|
$
|
0.75
|
$
|
0.77
|
$
|
0.69
|
||||||
Average
Common Shares Outstanding:
|
||||||||||||||||
Basic
|
20,444
|
20,324
|
20,078
|
19,205
|
19,032
|
|||||||||||
Diluted
|
20,670
|
20,568
|
20,487
|
20,494
|
20,116
|
|||||||||||
Depreciation
and Amortization
|
$
|
8,031
|
$
|
5,347
|
$
|
4,513
|
$
|
3,988
|
$
|
3,344
|
As
at December 31,
|
||||||||||||||||
(In
thousands except per share data)
|
2007
|
2006
|
2005
|
2004
|
2003
|
|||||||||||
Balance
Sheet And Other Data:
|
||||||||||||||||
Cash
and Cash Equivalents and Short-Term Investments
|
$
|
90,034
|
$
|
71,047
|
$
|
59,532
|
$
|
40,972
|
$
|
58,958
|
||||||
Working
Capital
|
178,560
|
138,547
|
131,084
|
129,866
|
115,970
|
|||||||||||
Total
Assets
|
446,052
|
333,045
|
240,910
|
230,485
|
194,001
|
|||||||||||
Short-Term
Bank Debt
|
7,217
|
6,033
|
989
|
748
|
121
|
|||||||||||
Long-Term
Debt (including current portion)
|
59,733
|
10,769
|
13,212
|
19,617
|
-0-
|
|||||||||||
Stockholders’
Equity
|
192,660
|
155,272
|
127,727
|
126,509
|
104,916
|
|||||||||||
Dividends
per Share
|
$
|
0.20
|
$
|
0.16
|
$
|
0.16
|
$
|
0.12
|
$
|
0.08
|
Years
ended December 31,
|
||||||||||||||||
2007
|
% Change
|
2006
|
% Change
|
2005
|
||||||||||||
(in
millions)
|
||||||||||||||||
European
based product sales
|
$
|
330.8
|
22
|
%
|
$
|
270.1
|
13
|
%
|
$
|
239.2
|
||||||
United
States based product sales
|
58.8
|
15
|
%
|
51.0
|
49
|
%
|
34.3
|
|||||||||
Total
net sales
|
$
|
389.6
|
21
|
%
|
$
|
321.1
|
17
|
%
|
$
|
273.5
|
Years
ended December 31,
|
||||||||||
2007
|
2006
|
2005
|
||||||||
(in
millions)
|
||||||||||
Net
sales
|
$
|
389.6
|
$
|
321.1
|
$
|
273.5
|
||||
Cost
of sales
|
160.2
|
143.9
|
115.8
|
|||||||
Gross
margin
|
$
|
229.4
|
$
|
177.2
|
$
|
157.7
|
||||
Gross
margin as a percent of net sales
|
59
|
%
|
55
|
%
|
58
|
%
|
Years ended December 31,
|
||||||||||
2007
|
2006
|
2005
|
||||||||
(in
millions)
|
||||||||||
Selling,
general & administrative
|
$
|
181.2
|
$
|
141.1
|
$
|
126.4
|
||||
Selling,
general & administrative as a percent of net sales
|
47
|
%
|
44
|
%
|
46
|
%
|
Years ended December 31,
|
||||||||||
2007
|
2006
|
2005
|
||||||||
(In thousands except per share data)
|
||||||||||
Net
income
|
$
|
23,817
|
$
|
17,742
|
$
|
15,263
|
||||
Net
income per share:
|
||||||||||
Basic
|
$
|
1.16
|
$
|
0.87
|
$
|
0.76
|
||||
Diluted
|
$
|
1.14
|
$
|
0.86
|
$
|
0.75
|
||||
Weighted
average number of shares outstanding:
|
||||||||||
Basic
|
20,444
|
20,324
|
20,078
|
|||||||
Diluted
|
20,670
|
20,568
|
20,487
|
Payments due by period
|
||||||||||||||||
Contractual Obligations
|
Total
|
Less than
1
year
|
Years
2-3
|
Years
4-5
|
More than
5
years
|
|||||||||||
Long-Term
Debt
|
$
|
59,700
|
$
|
16,200
|
$
|
26,000
|
$
|
17,500
|
|
|
||||||
Capital
Lease Obligations
|
||||||||||||||||
Operating
Leases
|
$
|
28,200
|
$
|
6,700
|
$
|
13,400
|
$
|
6,800
|
$
|
1,300
|
||||||
Purchase
obligations(1)
|
$
|
1,533,900
|
$
|
143,200
|
$
|
309,700
|
$
|
317,700
|
$
|
763,300
|
||||||
Other
Long-Term Liabilities Reflected on the Registrant's Balance Sheet
under
GAAP
|
||||||||||||||||
Total
|
$
|
1,621,800
|
$
|
166,100
|
$
|
349,100
|
$
|
342,000
|
$
|
764,600
|
(1)
|
|
Consists
of purchase commitments for advertising and promotional items, minimum
royalty guarantees, including fixed or minimum obligations, and estimates
of such obligations subject to variable price provisions. Future
advertising commitments were estimated based on planned future sales
for
the license terms that were in effect at December 31, 2007, without
consideration for potential renewal periods and do not reflect the
fact
that our distributors share our advertising obligations..
|
1st Quarter
|
2nd Quarter
|
3rd Quarter
|
4th Quarter
|
Full Year
|
||||||||||||
Net
Sales
|
$
|
85,120
|
$
|
82,764
|
$
|
102,320
|
$
|
119,356
|
$
|
389,560
|
||||||
Gross
Profit
|
51,933
|
48,149
|
60,066
|
69,275
|
229,423
|
|||||||||||
Net
Income
|
5,793
|
3,749
|
5,660
|
8,615
|
23,817
|
|||||||||||
Net
Income per Share:
|
||||||||||||||||
Basic
|
$
|
0.28
|
$
|
0.18
|
$
|
0.28
|
$
|
0.42
|
$
|
1.16
|
||||||
Diluted
|
$
|
0.28
|
$
|
0.18
|
$
|
0.27
|
$
|
0.41
|
$
|
1.14
|
||||||
Average
Common Shares Outstanding:
|
||||||||||||||||
Basic
|
20,436
|
20,437
|
20,437
|
20,431
|
20,444
|
|||||||||||
Diluted
|
20,620
|
20,725
|
20,678
|
20,621
|
20,670
|
1st Quarter
|
2nd Quarter
|
3rd Quarter
|
4th Quarter
|
Full Year
|
||||||||||||
Net
Sales
|
$
|
70,900
|
$
|
70,285
|
$
|
89,690
|
$
|
90,179
|
$
|
321,054
|
||||||
Gross
Profit
|
40,296
|
39,670
|
48,688
|
48,545
|
177,199
|
|||||||||||
Net
Income
|
4,420
|
3,192
|
4,645
|
5,485
|
17,742
|
|||||||||||
Net
Income per Share:
|
||||||||||||||||
Basic
|
$
|
0.22
|
$
|
0.16
|
$
|
0.23
|
$
|
0.27
|
$
|
0.87
|
||||||
Diluted
|
$
|
0.22
|
$
|
0.16
|
$
|
0.23
|
$
|
0.27
|
$
|
0.86
|
||||||
Average
Common Shares Outstanding:
|
||||||||||||||||
Basic
|
20,267
|
20,315
|
20,322
|
20,392
|
20,324
|
|||||||||||
Diluted
|
20,544
|
20,564
|
20,546
|
20,620
|
20,568
|
Name
|
Position
|
|
Jean
Madar
|
Chairman
of the Board, Chief Executive Officer of Inter Parfums, Inc.
and
Director
General of Inter Parfums, S.A.
|
|
Philippe
Benacin
|
Vice
Chairman of the Board, President of Inter Parfums, Inc. and
Chief
Executive Officer of Inter Parfums, S.A.
|
|
Russell
Greenberg
|
Director,
Executive Vice President and Chief Financial Officer
|
|
Philippe
Santi
|
Director,
Executive Vice President and Director General Delegué, Inter Parfums,
S.A.
|
|
Francois
Heilbronn
|
Director
|
|
Joseph
A. Caccamo
|
Director
|
|
Jean
Levy
|
Director
|
|
Robert
Bensoussan-Torres
|
Director
|
|
Jean
Cailliau
|
Director
|
|
Serge
Rosinoer
|
Director
|
|
Patrick
Choël
|
Director
|
|
Hugues
de la Chevasnerie
|
Director
of Burberry Fragrances, Inter Parfums, S.A.
|
|
Frederic
Garcia-Pelayo
|
Director
of the Luxury and Fashion division of Inter Parfums,
S.A.
|
|
Jack
Ayer
|
Director
of Distribution – France, Inter Parfums, S.A.
|
|
Axel
Marot
|
Director
of Production & Logistics, Inter Parfums, S.A.
|
|
Henry
B. (“Andy”) Clarke
|
President
of Specialty Retail Division
|
·
|
Audit
Committee – The Audit Committee has the sole authority and is
directly responsible for, the appointment, compensation and oversight
of
the work of the independent accountants employed by the Company which
prepare or issue an audit report for the Company. During 2007, the
Audit
Committee initially consisted of Messrs. Heilbronn, Levy and
Bensoussan-Torres and Mr. Choël replaced Mr. Bensoussan-Torres in June
2007.
|
·
|
Executive
Compensation and Stock Option Committee – The Executive Compensation
and Stock Option Committee oversees the compensation of the Company’s
executives and administers the Company’s stock option plans. During 2007,
the members of such committee initially consisted of Messrs. Heilbronn,
Levy and Choël. We presently do not have a separate charter for our
Executive Compensation and Stock Option
Committee.
|
Name and Principal Position
|
Year
|
Salary ($)
|
Bonus ($)
|
Stock
Awards ($)
|
Option
Awards
($)
|
Non-Equity
Incentive Plan
Compensation
($)
|
Change in Pension
Value and
Nonqualified
Deferred
Compensation
Earnings ($)
|
All Other
Compensation ($)
|
Total ($)
|
|||||||||||||||||||
Jean
Madar,
|
2007 |
400,000
|
100,000
|
-0-
|
124,000
|
-0-
|
-0-
|
429,750
|
1 |
1,053,750
|
||||||||||||||||||
Chief
Executive Officer
|
2006 |
400,000
|
-0-
|
-0-
|
252,000
|
-0-
|
-0-
|
2,974,944
|
2 |
3,626,944
|
||||||||||||||||||
2005 |
400,000
|
-0-
|
-0-
|
337,000
|
-0-
|
-0-
|
6,079,952
|
3 |
6,816,952
|
|||||||||||||||||||
Russell
Greenberg, Chief Financial
|
2007 |
405,000
|
43,100
|
-0-
|
98,000
|
-0-
|
-0-
|
246,590
|
4 |
792,690
|
||||||||||||||||||
Officer
|
2006 |
375,000
|
30,000
|
-0-
|
167,000
|
-0-
|
-0-
|
304,214
|
5 |
876,214
|
||||||||||||||||||
2005 |
345,000
|
30,000
|
-0-
|
132,000
|
-0-
|
-0-
|
548,214
|
6 |
1,055,214
|
|||||||||||||||||||
Philippe
Benacin, President of
|
2007 |
263,750
|
170,000
|
-0-
|
124,000
|
-0-
|
10,610
|
523,299
|
7 |
1,091,659
|
||||||||||||||||||
Inter
Parfums, Inc. and Chief
|
2006 |
226,206
|
153,174
|
-0-
|
252,000
|
-0-
|
8,800
|
1,298,801
|
8 |
1,938,981
|
||||||||||||||||||
Executive
Officer of Inter Parfums, S.A.
|
2005 |
208,874
|
161,629
|
-0-
|
337,000
|
-0-
|
8,700
|
5,866,935
|
9 |
6,583,138
|
||||||||||||||||||
Philippe
Santi,
|
2007 |
263,750
|
216,000
|
-0-
|
-0-
|
27,474
|
10,610
|
-0-
|
10 |
517,834
|
||||||||||||||||||
Executive
Vice President and
|
2006 |
226,206
|
197,302
|
-0-
|
105,000
|
22,621
|
8,800
|
405,801
|
11 |
965,730
|
||||||||||||||||||
Director
General Delegue, Inter Parfums, S.A.
|
2005 |
208,874
|
161,629
|
-0-
|
91,000
|
21,655
|
8,700
|
169,104
|
12 |
660,962
|
||||||||||||||||||
Frédéric
Garcia-Pelayo,
|
2007 |
263,750
|
216,000
|
-0-
|
-0-
|
27,474
|
10,610
|
211,225
|
13 |
729,059
|
||||||||||||||||||
Director
Export Sales,
|
2006 |
226,206
|
197,302
|
-0-
|
166,000
|
22,621
|
8,800
|
259,956
|
14 |
880,885
|
||||||||||||||||||
Inter
Parfums, S.A.
|
2005 |
208,874
|
161,629
|
-0-
|
53,000
|
21,655
|
8,700
|
173,218
|
15 |
627,076
|
1
|
Consists
of $429,750 realized upon the exercise of
options.
|
2
|
Consists
of $654,500 realized upon the exercise of options, and $2,320,444
realized
on the exercise of options of Inter Parfums,
S.A.
|
3
|
Consists
of $6,079,952 realized upon the exercise of options.
|
4
|
Consists
of $2,214 for automobile expenses and $166,590 realized upon exercise
of
options and $ 80,000 realized on the exercise of options of Inter
Parfums,
S.A.
|
5
|
Consists
of $2,214 for automobile expenses and $235,000 realized upon exercise
of
options and $67,000 realized on the exercise of options of Inter
Parfums,
S.A.
|
6
|
Consists
of $2,214 for automobile expenses and $467,000 realized upon exercise
of
options and $79,000 realized on the exercise of options of Inter
Parfums,
S.A.
|
7
|
Consists
of lodging expenses of $82,422, $11,127 for automobile expenses,
and
$429,750 realized upon the exercise of
options.
|
8
|
Consists
of lodging expenses of $75,402, $8,797 for automobile expenses, $654,500
realized upon the exercise of options, and $560,102 realized on the
exercise of options of Inter Parfums, S.A.
|
9
|
Consists
of lodging expenses of $208,874, $10,613 for automobile expenses,
$5,072,785 realized upon the exercise of options, and $574,663 realized
upon exercise of options of Inter Parfums,
S.A.
|
10
|
Consists
of $0 realized on the exercise of options of Inter Parfums,
S.A.
|
11
|
Consists
of $405,801 realized on the exercise of options of Inter Parfums,
S.A.
|
12
|
Consists
of $169,104 realized on the exercise of options of Inter Parfums,
S.A.
|
13
|
Consists
of $211,225 realized on the exercise of options of Inter Parfums,
S.A.
|
14
|
Consists
of $259,956 realized on the exercise of options of Inter Parfums,
S.A.
|
15
|
Consists
of $173,218 realized on the exercise of options of Inter Parfums,
S.A.
|
Estimated Future Payouts
Under Non-Equity Incentive Plan
Awards
|
Estimated Future Payouts
Under Equity Incentive Plan
Awards
|
All
Other
Stock
Awards:
Number
of
Shares
of Stock
|
All Other
Option
Awards:
Number of
Securities
Underlying
|
Exercise
or Base
Price of
Option
|
|||||||||||||||||||||||||||
Name
|
Grant Date
|
Threshold
($)
|
Target
($)
|
Maximum
($)
|
Threshold
($)
|
Target
($)
|
Maximum
($)
|
or Units
(#)
|
Options
(#)
|
Awards
($/Sh)
|
|||||||||||||||||||||
Jean
Madar
|
12/26/07 |
-0-
|
-0-
|
-0-
|
-0-
|
-0-
|
-0-
|
-0-
|
19,000
|
18.865
|
|||||||||||||||||||||
Jean
Madar
|
2/14/08 |
-0-
|
-0-
|
-0-
|
-0-
|
-0-
|
-0-
|
-0-
|
9,250
|
16.945
|
|||||||||||||||||||||
Russell
Greenberg
|
12/26/07 |
-0-
|
-0-
|
-0-
|
-0-
|
-0-
|
-0-
|
-0-
|
15,000
|
18.865
|
|||||||||||||||||||||
Philippe
Benacin
|
12/26/07 |
-0-
|
-0-
|
-0-
|
-0-
|
-0-
|
-0-
|
-0-
|
19,000
|
18.865
|
|||||||||||||||||||||
Philippe
Benacin
|
2/14/08 |
-0-
|
-0-
|
-0-
|
-0-
|
-0-
|
-0-
|
-0-
|
9,250
|
16.945
|
|||||||||||||||||||||
Philippe
Santi
|
2/14/08 |
-0-
|
-0-
|
-0-
|
-0-
|
-0-
|
-0-
|
-0-
|
8,500
|
16.945
|
|||||||||||||||||||||
Frédéric
Garcia-Pelayo
|
2/14/08 |
-0-
|
-0-
|
-0-
|
-0-
|
-0-
|
-0-
|
-0-
|
8,500
|
16.945
|
Option Awards
|
||||||||||||||||
Name
|
Number of
Securities
Underlying
Unexercised
Options (#)
Exercisable
|
Number of
Securities
Underlying
Unexercised
Options (#)
Unexercisable
|
Equity Incentive Plan
Awards: Number of
Securities Underlying
Unexercised Unearned
Options (#)
|
Option
Exercise
Price
($)
|
Option
Expiration
Datte
|
|||||||||||
Jean Madar
|
50,000
|
-0-
|
23.050
|
12/30/08
|
||||||||||||
|
50,000
|
-0-
|
15.390
|
12/09/09
|
||||||||||||
|
50,000
|
-0-
|
14.950
|
04/19/10
|
||||||||||||
|
8,000
|
-0-
|
19.655
|
12/14/12
|
||||||||||||
|
32,000
|
-0-
|
19.655
|
12/14/12
|
||||||||||||
|
19,000
|
-0-
|
18.865
|
12/26/13
|
||||||||||||
|
9,250
|
-0-
|
16.945
|
2/13/14
|
||||||||||||
Russell
Greenberg
|
18,000
|
-0-
|
23.050
|
12/30/08
|
||||||||||||
|
25,000
|
-0-
|
15.390
|
12/09/09
|
||||||||||||
|
25,000
|
-0-
|
14.950
|
04/19/10
|
||||||||||||
|
5,000
|
-0-
|
19.655
|
12/14/12
|
||||||||||||
|
20,000
|
-0-
|
19.655
|
12/14/12
|
||||||||||||
|
15,000
|
-0-
|
18.865
|
12/26/13
|
||||||||||||
|
||||||||||||||||
Philippe
Benacin
|
50,000
|
-0-
|
23.050
|
12/30/08
|
||||||||||||
|
50,000
|
-0-
|
15.390
|
12/09/09
|
||||||||||||
|
50,000
|
-0-
|
14.950
|
04/19/10
|
||||||||||||
|
8,000
|
-0-
|
19.655
|
12/14/12
|
||||||||||||
|
32,000
|
-0-
|
19.655
|
12/14/12
|
||||||||||||
|
19,000
|
-0-
|
18.865
|
12/26/13
|
||||||||||||
|
9,250
|
-0-
|
16.945
|
2/13/14
|
||||||||||||
Philippe
Santi
|
7,500
|
-0-
|
7.850
|
01/23/08
|
||||||||||||
|
10,000
|
-0-
|
25.240
|
02/12/09
|
||||||||||||
|
7,500
|
-0-
|
15.390
|
12/09/09
|
||||||||||||
|
7,500
|
-0-
|
14.950
|
04/19/10
|
||||||||||||
|
1,000
|
-0-
|
19.655
|
12/14/12
|
||||||||||||
|
4,000
|
-0-
|
19.655
|
12/14/12
|
||||||||||||
|
8,500
|
-0-
|
16.945
|
2/13/14
|
||||||||||||
|
||||||||||||||||
Frédéric
Garcia-Pelayo
|
1,000
|
-0-
|
19.655
|
12/14/12
|
||||||||||||
|
4,000
|
-0-
|
19.655
|
12/14/12
|
||||||||||||
|
8,500
|
-0-
|
16.945
|
2/13/14
|
Option Awards
|
|||||||||||||
Name
|
Number of Securities
Underlying
Unexercised Options
(#) Exercisable
|
Number of Securities
Underlying
Unexercised Options
(#) Unexercisable
|
Option
Exercise Price
(euros)
|
Option Expiration
Date
|
|||||||||
Jean
Madar
|
13,310
|
16.60
|
08/26/09
|
||||||||||
|
18,634
|
24.30
|
03/25/10
|
||||||||||
|
13,310
|
22.70
|
05/26/11
|
||||||||||
|
12,100
|
28.90
|
06/01/12
|
||||||||||
|
|||||||||||||
Russell
Greenberg
|
3,627
|
17.50
|
04/26/08
|
||||||||||
|
2,928
|
10.10
|
08/26/09
|
||||||||||
|
1,198
|
16.60
|
08/26/09
|
||||||||||
|
1,065
|
24.30
|
03/25/10
|
||||||||||
|
1,331
|
22.70
|
05/26/11
|
||||||||||
|
968
|
28.90
|
06/01/12
|
||||||||||
|
|||||||||||||
Philippe
Benacin
|
5,515
|
10.10
|
08/26/09
|
||||||||||
|
13,310
|
16.60
|
08/26/09
|
||||||||||
|
18,634
|
24.30
|
03/25/10
|
||||||||||
|
13,310
|
27.70
|
05/26/11
|
||||||||||
|
12,100
|
28.90
|
06/01/12
|
||||||||||
|
|||||||||||||
Philippe
Santi
|
9,664
|
10.10
|
08/26/09
|
||||||||||
|
6,655
|
16.60
|
08/26/09
|
||||||||||
|
9,584
|
24.30
|
03/25/10
|
||||||||||
|
7,986
|
22.70
|
05/26/11
|
||||||||||
|
7,260
|
28.90
|
06/01/12
|
||||||||||
|
|||||||||||||
Frédéric
Garcia-Pelayo
|
6,669
|
10.10
|
08/26/09
|
||||||||||
|
6,655
|
16.60
|
08/26/09
|
||||||||||
|
9,584
|
24.30
|
03/25/10
|
||||||||||
|
7,986
|
22.70
|
05/26/11
|
||||||||||
|
7,260
|
28.90
|
06/01/12
|
Option Awards
|
Stock Awards
|
||||||||||||
Name
|
Number of Shares
Acquired on
Exercise
(#)
|
Value Realized on
Exercise
($)1
|
Number of Shares
Acquired on
Vesting
(#)
|
Value Realized
On Vesting
($)
|
|||||||||
Jean
Madar2
|
50,000
|
429,750
|
-0-
|
-0-
|
|||||||||
Russell
Greenberg
|
18,000
|
166,590
|
-0-
|
-0-
|
|||||||||
Philippe
Benacin2
|
50,000
|
429,750
|
-0-
|
-0-
|
|||||||||
Philippe
Santi
|
-0-
|
-0-
|
-0-
|
-0-
|
|||||||||
Frédéric
Garcia-Pelayo
|
-0-
|
-0-
|
-0-
|
-0-
|
1
|
Total
value realized on exercise of options in dollars is based upon the
difference between the fair market value of the common stock on the
date
of exercise, and the exercise price of the option, or the fair market
value of the net amount of shares received upon exercise of
options.
|
2 |
In
December 2007 both the Chief Executive Officer and the President
exercised
an aggregate of 100,000 outstanding stock options of the Company’s common
stock. The aggregate exercise prices of $0.8 million in 2007, were
paid by
them tendering to the Company in 2007 an aggregate of 48,286 of the
Company’s common stock, previously owned by them, valued at fair market
value on the date of exercise. All shares issued pursuant to these
option
exercises were issued from treasury stock of the Company. In addition,
the
Chief Executive Officer tendered in 2007 an additional 6,465 shares,
respectively, for payment of certain withholding taxes resulting
from his
option exercise.
|
Option
Awards
|
Stock
Awards
|
||||||||||||
Name
|
Number of Shares
Acquired on
Exercise
(#)
|
Value Realized on
Exercise
($)1
|
Number of Shares
Acquired on
Vesting
(#)
|
Value Realized
On Vesting
($)
|
|||||||||
Jean
Madar
|
-0-
|
-0-
|
-0-
|
-0-
|
|||||||||
Philippe
Benacin
|
-0-
|
-0-
|
-0-
|
-0-
|
|||||||||
Russell
Greenberg
|
3,082
|
80,000
|
-0-
|
-0-
|
|||||||||
Philippe
Santi
|
-0-
|
-0-
|
-0-
|
-0-
|
|||||||||
Frédéric
Garcia-Pelayo
|
7,649
|
211,225
|
-0-
|
-0-
|
1
|
Total
value realized on exercise of options in dollars is based upon the
difference between the fair market value of the common stock on the
date
of exercise, and the exercise price of the
option.
|
Name
|
Plan Name
|
Number of Years
Credited Service
(#)
|
Present Value of
Accumulated
Benefit
($)
|
Payments During
Last Fiscal Year
($)
|
|||||||||
Jean
Madar
|
NA
|
NA
|
-0-
|
-0-
|
|||||||||
Russell
Greenberg
|
NA
|
NA
|
-0-
|
|
-0-
|
||||||||
Philippe
Benacin
|
Inter Parfums SA
Pension
Plan
|
NA
|
91,763
|
|
10,610
|
||||||||
Philippe
Santi
|
Inter
Parfums SA
Pension
Plan
|
NA
|
91,763
|
10,610
|
|||||||||
Frédéric
Garcia-Pelayo
|
Inter
Parfums SA
Pension
Plan
|
NA
|
91,763
|
10,610
|
Name
|
Fees
Earned
or
Paid
in
Cash
($)
|
Stock
Awards
($)
|
Option
Awards
($)
|
Non-Equity
Incentive
Plan
Compensation
($)
|
Change
in
Pension
Value
and
Nonqualified
Deferred
Compensation
Earnings
|
All
Other
Compensation
($)9
|
Total
($)
|
|||||||||||||||
Francois
Heilbronn1
|
12,000
|
-0-
|
5,180
|
-0-
|
-0-
|
9,400
|
26,580
|
|||||||||||||||
Joseph
A. Caccamo 2
|
8,000
|
-0-
|
20,720
|
-0-
|
-0-
|
-0-
|
28,720
|
10 | ||||||||||||||
Jean
Levy3
|
12,000
|
-0-
|
5,180
|
-0-
|
-0-
|
-0-
|
17,180
|
|||||||||||||||
Robert
Bensoussan-
Torres4
|
4,000
|
-0-
|
5,180
|
-0-
|
-0-
|
-0-
|
9,180
|
|||||||||||||||
Jean
Cailliau5
|
8,000
|
-0-
|
5,180
|
-0-
|
-0-
|
9,400
|
22,580
|
|||||||||||||||
Serge
Rosinoer6
|
2,000
|
-0-
|
2,590
|
-0-
|
-0-
|
11,590
|
16,180
|
|||||||||||||||
Patrick
Choël7
|
12,000
|
-0-
|
5,180
|
-0-
|
-0-
|
-0-
|
17,180
|
1. |
As
of the end of the last fiscal year, Mr. Heilbronn held options to
purchase
an aggregate of 4,000 shares of our common
stock.
|
2. |
As
of the end of the last fiscal year, Mr. Caccamo held options to purchase
an aggregate of 16,000 shares of our common stock, 8,000 of which
are held
as nominee for his present firm and 8,000 of which are held as nominee
for
his former employer. Mr. Caccamo disclaims beneficial ownership of
such
options.
|
3. |
As
of the end of the last fiscal year, Mr. Levy held options to purchase
an
aggregate of 5,000 shares of our common
stock.
|
4. |
As
of the end of the last fiscal year, Mr. Bensoussan-Torres held options
to
purchase an aggregate of 5,000 shares of our common
stock.
|
5. |
As
of the end of the last fiscal year, Mr. Cailliau held options to
purchase
an aggregate of 4,000 shares of our common
stock.
|
6. |
As
of the end of the last fiscal year, Mr. Rosinoer held options to
purchase
an aggregate of 4,000 shares of our common
stock.
|
7. |
As
of the end of the last fiscal year, Mr. Choël held options to purchase an
aggregate of 3,000 shares of our common stock.
|
9. |
Represents
the difference between the exercise price of the option and the fair
market value of the underlying common stock on the date of exercise.
|
10. |
Does
not include $191,000 paid for legal fees and expenses to Mr. Caccamo’s law
firm.
|
Name
and Address
of
Beneficial Owner
|
Amount of Beneficial Ownership1
|
Approximate Percent of Class
|
|||||
Jean
Madar
c/o
Inter Parfums, S.A.
4,
Rond Point Des Champs Elysees
75008
Paris, France
|
5,526,9522
|
26.7%
|
|
||||
Philippe
Benacin
c/o
Inter Parfums, S.A.
4,
Rond Point Des Champs Elysees
75008
Paris, France
|
5,470,9753
|
26.4%
|
|
||||
Russell
Greenberg
c/o
Inter Parfums, Inc.
551
Fifth Avenue
New
York, NY 10176
|
93,0004
|
Less
than 1%
|
|
||||
Philippe
Santi
Inter
Parfums, S.A.
4,
Rond Point Des Champs Elysees
75008,
Paris France
|
33,5005
|
Less
than 1%
|
|
||||
Francois
Heilbronn
60
Avenue de Breteuil
75007
Paris, France
|
48,6256
|
Less
than 1%
|
|
||||
Joseph
A. Caccamo, Esq.
GrayRobinson,
P.A.
401
East Las Olas Blvd., Ste. 1850
Ft.
Lauderdale, FL 33301
|
13,0007
|
Less
than 1%
|
|
Name
and Address
of
Beneficial Owner
|
Amount of Beneficial Ownership1
|
Approximate Percent of Class
|
|||||
Jean
Levy
Chez
Axcess Groupe
8
rue de Berri
75008
Paris, France
|
4,2508
|
Less
than 1%
|
|
||||
Robert
Bensoussan-Torres
c/o
Sirius Equity LLP
52
Brook Street
W1K
5DS London
|
8,2509
|
Less
than 1%
|
|
||||
Jean
Cailliau
c/o
Wayak Sarl
8
rue Pasteur
92210
St Cloud, France
|
4,25010
|
Less
than 1%
|
|
||||
Serge
Rosinoer
14
rue LeSueur
75116
Paris, France
|
9,95011
|
Less
than 1%
|
|
||||
Patrick
Choël
Universite
-82
7
rue de Talleyrand
75007,
Paris, France
|
50012
|
Less
than 1%
|
|
||||
Frederic
Garcia-Pelayo
Inter
Parfums, S.A.
4,
Rond Point Des Champs Elysees
75008,
Paris France
|
-0-
|
NA
|
|||||
Jack
Ayer
Inter
Parfums, S.A.
4,
Rond Point Des Champs Elysees
75008,
Paris France
|
-0-
|
NA
|
|||||
Axel
Marot
Inter
Parfums, S.A.
4,
Rond Point Des Champs Elysees
75008,
Paris France
|
-0-
|
NA
|
|||||
Hugues
de la Chevasnerie
Inter
Parfums, S.A.
4,
Rond Point Des Champs Elysees
75008,
Paris France
|
-0-
|
NA
|
Name
and Address
of
Beneficial Owner
|
Amount of Beneficial Ownership1
|
Approximate Percent of Class
|
|||||
Henry
B. (Andy) Clarke
c/o
Inter Parfums, Inc.
551
Fifth Avenue
New
York, NY 10176
|
11,78313
|
Less
than 1%
|
|
||||
Royce
& Associates, LLC
1414
Avenue of the Americas
New
York, NY 10019
|
2,554,57114
|
12.5%
|
|
||||
Independence
Investments, LLC
551
Fifth Avenue
New
York, NY 10176
|
1,132,09815
|
5.5%
|
|
||||
Wellington
Management Company, LLP
75
State Street
Boston,
MA 02109
|
1,318,45116
|
6.5%
|
|
||||
All
Directors and Officers
As
a Group 16 Persons)
|
11,225,03517
|
53.7%
|
|
Plan category
|
Number of
securities to
be issued
upon
exercise of
outstanding
options,
warrants and
rights
(a)
|
Weighted-average
exercise price of
outstanding
options, warrants
and rights
(b)
|
Number of securities
remaining
available for
future issuance
under equity
compensation
plans
(excluding
securities
reflected in
column (a))
(c)
|
|||||||
Equity
compensation plans approved by security holders
|
804,400
|
18.43
|
785,529
|
|||||||
Equity
compensation plans not approved by security holders
|
-0-
|
N/A
|
-0-
|
|||||||
Total
|
804,400
|
18.43
|
785,529
|
·
|
We
authorized the engagement of Mazars LLP if deemed necessary to provide
tax
consultation in the ordinary course of business for fiscal year ended
December 31, 2007.
|
·
|
We
authorized the engagement of Mazars LLP if deemed necessary to provide
tax
consultation as may be required on a project by project basis that
would
not be considered in the ordinary course of business, of up to a
$5,000
fee limit per project, subject to an aggregate fee limit of $25,000
for
fiscal year ending December 31, 2007. If we require further tax services
from Mazars LLP, then the approval of the audit committee must be
obtained.
|
·
|
If
we require other services by Mazars LLP on an expedited basis such
that
obtaining pre-approval of the audit committee is not practicable,
then the
Chairman of the Committee has authority to grant the required
pre-approvals for all such services.
|
·
|
None
of the non-audit services of either of the Company’s auditors had the
pre-approval requirement waived in accordance with Rule 2-01(c)(7)(i)(C)
of Regulation S-X.
|
|
|
Page No.
|
|
(a)(1)
|
Financial
Statements annexed hereto
|
||
Report
of Independent Registered Public Accounting Firm
|
F-2
|
||
Consolidated
Balance Sheets as of December 31, 2007 and
December 31, 2006
|
F-3
|
||
Consolidated
Statements of Income for each of the years in the three-year period
ended
December 31, 2007
|
F-4
|
||
Consolidated
Statements of Changes in Shareholders’ Equity and Comprehensive Income for
each of the years in the three-year period ended December 31,
2007
|
F-5
|
||
Consolidated
Statements of Cash Flows for each of the years in the three-year
period
ended December 31, 2007
|
F-6
|
||
Notes
to Consolidated Financial Statements
|
F-7
|
||
(a)(2)
|
Financial
Statement Schedules annexed hereto:
|
||
Schedule
II - Valuation and Qualifying Accounts
|
F-25
|
||
|
Schedules
other than those referred to above have been
omitted as the conditions requiring their filing
are not present or the information has been presented
elsewhere in the consolidated financial statements.
|
Exhibit
No.
|
Description
|
10.25
|
Employment
Agreement between the Company and Philippe Benacin dated July 29,
1991
|
Exhibit
No.
|
Description
|
10.26
|
Lease
for portion of 15th Floor, 551 Fifth Avenue, New York, New
York
|
Exhibit
No.
|
Description
|
3.3
|
Articles
of Incorporation of Inter Parfums Holdings, S.A.
|
3.3.1
|
English
Translation of Exhibit no. 3.3, Articles of Incorporation of Inter
Parfums
Holding, S.A.
|
3.4
|
Articles
of Incorporation of Inter Parfums, S.A.
|
3.4.1
|
English
Translation of Exhibit no. 3.4, Articles of Incorporation of Inter
Parfums, S.A.
|
10.52
|
Lease
for portion of 4, Rond Point Des Champs Des Elysees dated September
30,
1993
|
10.52.1
|
English
translation of Exhibit no. 10.52, Lease for portion of 4, Rond Point
Des
Champs Des Elysees dated September 30, 1993
|
10.53
|
Lease
for portion of 4, Rond Point Des Champs Des Elysees dated March 2,
1994
|
10.53.1
|
English
translation of Exhibit no. 1053, Lease for portion of 4, Rond Point
Des
Champs Des Elysees dated March 2,
1994
|
Exhibit
No.
|
Description
|
10.59
|
Modification
of Lease Agreement dated June 17, 1994 between Metropolitan Life
Insurance
Company and Jean Philippe Fragrances,
Inc.
|
Exhibit
No.
|
Description
|
10.61
|
Lease
for 60 Stults Road, South Brunswick, NJ between Forsgate Industrial
Complex, a limited partnership, and Jean Philippe Fragrances, Inc.
dated
July 10, 1995
|
Exhibit
No.
|
Description
|
10.67
|
Second
Modification of Lease made as of the 30th
day of April, 1997 between Metropolitan Life Insurance Company as
landlord
and Jean Philippe Fragrances, Inc. as tenant
|
10.69
|
Exclusive
License Agreement dated June 20, 1997 between S.T. Dupont, S.A. and
Inter
Parfums (English translation, excised
form)
|
Exhibit
No.
|
Description
|
3.2
|
Amended
and Restated By-laws
|
4.17
|
1997
Nonemployee Director Stock Option Plan
|
10.70
|
License
Agreement among Paul Smith Limited, Inter Parfums, S.A. and Jean-Philippe
Fragrances, Inc. (Certain confidential information in this Exhibit
10.70
was omitted and filed separately with the Securities and Exchange
Commission with a request for confidential treatment by Inter Parfums,
Inc).
|
Exhibit
No.
|
Description
|
10.71
|
License
Agreement between Christian LaCroix, a division of Group LVMH and
Inter
Parfums, S.A. (English translation) (Certain confidential information
in
this Exhibit 10.71 was omitted and filed separately with the Securities
and Exchange Commission with a request for confidential treatment
by Inter
Parfums, Inc).
|
Exhibit
No.
|
Description
|
3.1.4
|
Amendment
to the Company's Restated Certificate of Incorporation, as amended,
dated
July 13, 1999 (listed therein as
3.1(d))
|
Exhibit
No.
|
Description
|
10.76
|
Celine
License Agreement (Certain confidential information in this Exhibit
10.76
was omitted and filed separately with the Securities and Exchange
Commission with a request for confidential treatment by Inter Parfums,
Inc).
|
10.76.1
|
Celine
License Agreement (English translation) (Certain confidential information
in this Exhibit 10.76.1 was omitted and filed separately with the
Securities and Exchange Commission with a request for confidential
treatment by Inter Parfums, Inc).
|
Exhibit
No.
|
Description
|
3.1.5
|
Amendment
to the Company's Restated Certificate of Incorporation, as amended,
dated
12 July 2000 (listed therein as
3.1(e))
|
Exhibit
No.
|
Description
|
3.1.1
|
Restated
Certificate of Incorporation dated September 3, 1987
|
3.1.2
|
Amendment
to the Company's Restated Certificate of Incorporation dated July
31,
1992
|
3.1.3
|
Amendment
to the Company's Restated Certificate of Incorporation dated July
9,
1993
|
4.19
|
2000
Nonemployee Director Stock Option Plan
|
10.80
|
Credit
Lyonnais Letter Agreement dated 22 March 2001 - [French
Original]
|
10.80.1
|
Credit
Lyonnais Letter Agreement dated 22 March 2001 - [English
Translation]
|
10.81
|
Barclays
Bank Letter Agreement dated 4 June 1998 - [French
Original]
|
10.81.1
|
Barclays
Bank Letter Agreement dated 4 June 1998 - [English
Translation]
|
10.82
|
Banque
OBC Odier Bungener Courvoisier Letter Agreement one dated 31 July
1998 -
[French Original]
|
10.82.2
|
Banque
OBC Odier Bungener Courvoisier Letter Agreement one dated 31 July
1998 -
[English Translation]
|
10.83
|
Banque
OBC Odier Bungener Courvoisier Letter Agreement two dated 31 July
1998 -
[French Original]
|
10.83.2
|
Banque
OBC Odier Bungener Courvoisier Letter Agreement two dated 31 July
1998 -
[English Translation]
|
10.84
|
Banque
Worms Letter Agreement dated 22 December 1997 - [French
Original]
|
10.84.1
|
Banque
Worms Letter Agreement dated 22 December 1997 - [English
Translation]
|
10.85
|
Credit
Agricole ile de France Letter Agreement dated 19 June 1996 - [French
Original]
|
10.85.1
|
Credit
Agricole ile de France Letter Agreement dated 19 June 1996 - [English
Translation]
|
Exhibit
No.
|
Description
|
3.2
|
Amended
and Restated By-laws
|
4.20
|
1999
Stock Option Plan, as amended
|
Exhibit
No.
|
Description
|
10.90
|
Agreement
dated 29th day of May, 2002, among Diane Von Furstenberg Studio,
L.P.,
Inter Parfums USA, LLC and Inter Parfums, Inc. (Certain
confidential information in this Exhibit 10.90 was omitted and filed
separately with the Securities and Exchange Commission with a request
for
confidential treatment by Inter Parfums,
Inc)
|
Exhibit
No.
|
Description
|
19.92
|
Third
Modification of Lease dated June 17, 2002 between Metropolitan Life
Insurance Company, and Jean Philippe Fragrances,
LLC
|
Exhibit
No.
|
Description
|
10.97
|
Agreement
dated as of August 8, 2003 between HSBC Bank USA and Jean Philippe
Fragrances, LLC
|
Exhibit
No.
|
Description
|
10.99
|
Agreement
between Inter Parfums, S.A. and Credit Lyonnais dated 28 November
2003-
French original
|
Exhibit
No.
|
Description
|
10.99.1
|
Agreement
between Inter Parfums, S.A. and Credit Lyonnais dated 28 November
2003-English translation
|
10.100
|
Line
of Credit Agreement between The Banque OBC-Odier Bungener Courvoisier
and
Inter Parfums, S.A dated 29 October 2003- French
original
|
10.100.1
|
Line
of Credit Agreement between The Banque OBC-Odier Bungener Courvoisier
and
Inter Parfums, S.A dated 29 October 2003- English
translation
|
14
|
Code
of Business Conduct
|
31
|
Certification
Required by Rule 13a-14
|
32
|
Certification
Required by Section 906 of the Sarbanes-Oxley
Act
|
Exhibit
No.
|
Description
|
2.2
|
Offer
for purchase and sale of stock of the Nickel S.A. Company under conditions
precedent among Inter Parfums S.A. and Philippe Dumont et al dated
March
29, 2004- French original
|
2.2.1
|
Offer
for purchase and sale of stock of the Nickel S.A. Company under conditions
precedent among Inter Parfums S.A. and Philippe Dumont et al dated
March
29, 2004- English translation
|
2.3
|
Agreement
for Sale of Equity Capital with Condition Precedent dated March 29,
2004-
French original
|
2.3.1
|
Agreement
for Sale of Equity Capital with Condition Precedent dated March 29,
2004-
English Translation
|
10.101
|
Shareholders
Agreement from Nickel SA Company dated March 29, 2004- French
original
|
10.101.1
|
Shareholders
Agreement from Nickel SA Company dated March 29, 2004-English
translation
|
Exhibit
No.
|
Description
|
10.102
|
Agreement
between BNP Paribas and Inter Parfums SA dated March 17, 2004- French
Original
|
10.102.1
|
Agreement
between BNP Paribas and Inter Parfums SA dated March 17, 2004- English
translations
|
Exhibit
No.
|
Description
|
4.21
|
2004
Nonemployee Director Stock Option Plan
|
4.22
|
2004
Stock Option Plan
|
Exhibit
No.
|
Description
|
3.1.6
|
Amendment
to Certificate of Incorporation dated 6 August 2004
|
10.104
|
Lease
dated as of 1 March 2001 for 300 West 14th
Street, New York, NY
|
10.105
|
Loan
Contract dated 12 July 2004 between Credit Lyonnais and Inter Parfums,
S.A. (French Original)
|
10.105.1
|
Loan
Contract dated 12 July 2004 between Credit Lyonnais and Inter Parfums,
S.A. (English Translation)
|
10.106
|
Lease
effective as of 1 April 2004 for 4-6 Rond Point des Champs Elysees,
Ground
and 1st Floor, Paris, France (French Original)
|
10.106.1
|
Lease
effective as of 1 April 2004 for 4-6 Rond Point des Champs Elysees,
Ground
and 1st Floor, Paris, France (English Translation)
|
10.107
|
Lease
effective as of 1 April 2004 for 4-6 Rond Point des Champs Elysees,
5th
Floor-Left, Paris, France (French
Original)
|
Exhibit
No.
|
Description
|
10.107.1
|
Lease
effective as of 1 April 2004 for 4-6 Rond Point des Champs Elysees,
5th
Floor-Left, Paris, France(English Translation)
|
10.108
|
Lease
effective as of 1 April 2004 for 4-6 Rond Point des Champs Elysees,
6th
Floor-Right, Paris, France (French Original)
|
10.108.1
|
Lease
effective as of 1 April 2004 for 4-6 Rond Point des Champs Elysees,
6th
Floor-Right, Paris, France(English
Translation)
|
Exhibit
No.
|
Description
|
10.109
|
Lease
For Asnieres (92600) — 107, Quai Du Docteur Dervaux, (French
Original)
|
10.109.1
|
Lease
For Asnieres (92600) — 107, Quai Du Docteur Dervaux, (English
Translation)
|
10.110
|
Lease
For 48 Rue Des Francs-Bourgeois, In Paris, 3rd
District
(French Original)
|
10.110.1
|
Lease
For 48 Rue Des Francs-Bourgeois, In Paris,, 3rd
District
(English Translation)
|
10.112
|
Confidential
Treatment Agreement among Burberry Ltd., Inter Parfums, S.A., Inter
Parfums, Inc. and LV Capital USA, Inc., et al., dated 12 October
2004
|
10.113
|
Indemnity
Agreement among Burberry Ltd., Inter Parfums, S.A. and Inter Parfums,
Inc.
dated 12 October 2004
|
Exhibit
No.
|
Description
|
10.111
|
Licence
Agreement among Burberry Ltd., Inter Parfums, S.A. and Inter Parfums,
Inc.
dated 12 October 2004 (Certain confidential information in Exhibit
10.111
has been omitted and filed separately with the Securities and Exchange
Commission with a request for confidential treatment by Inter Parfums,
Inc.).
|
Exhibit
No.
|
Description
|
10.114
|
Employment
Agreement Dated February 8, 2005 Between Inter Parfums, Inc. and
Marcella
Cacci (Certain
confidential information in this Exhibit 10.114 was omitted and filed
separately with the Securities and Exchange Commission with a request
for
confidential treatment by Inter Parfums, Inc).
|
10.115
|
Agreement
dated July 29, 2004 between Credit Lyonnais and Groupe Inter Parfums
(French Original)
|
10.115.1
|
Agreement
dated July 29, 2004 between Credit Lyonnais and Groupe Inter Parfums
(English Translation)
|
10.116
|
Logistics
Service Contract (effective January 1, 2005) between Inter Parfums,
S.A.
and Sagatrans (French Original)
|
10.116.1
|
Logistics
Service Contract (effective January 1, 2005) between Inter Parfums,
S.A.
and Sagatrans (English Translation)
|
10.117
|
Agreement
dated July 29, 2004 between HSBC Bank USA and Jean Philippe Fragrances,
LLC
|
21
|
List
of Subsidiaries
|
23.1
|
Consent
of Mazars LLP
|
23.2
|
Consent
of KPMG LLP
|
23.3
|
Consent
of Eisner LLP
|
23.4
|
Consent
of KPMG Audit, a division of KPMG S.A.
|
31
|
Certification
Required by Rule 13a-14
|
32
|
Certification
Required by Section 906 of the Sarbanes-Oxley
Act
|
23.1
|
Consent
of Mazars LLP
|
23.2
|
Consent
of KPMG LLP
|
23.3
|
Consent
of Eisner LLP
|
23.4
|
Consent
of KPMG Audit, a division of KPMG S.A.
|
24
|
Power
of Attorney
|
31
|
Certification
Required by Rule 13a-14
|
32
|
Certification
Required by Section 906 of the Sarbanes-Oxley
Act
|
Exhibit
No.
|
Description
|
10.118
|
Agreement
dated July 14, 2005 by and among The Gap, Inc., Banana Republic LLC,
Gap
(Apparel) LLC, Gap (ITM), Inc., Banana Republic (Apparel) LLC, Banana
Republic (ITM), Inc., Gap (Puerto Rico), Inc., and Gap (Canada) Inc.,
together with their subsidiaries who operate stores on the one hand
and
Inter Parfums, Inc. and its wholly-owned subsidiary Inter Parfums
USA,
LLC. (Certain confidential information in this Exhibit 10.118 was
omitted
and filed separately with the Securities and Exchange Commission
with a
request for confidential treatment by Inter Parfums,
Inc).
|
10.119
|
Renouvellement
de Bail Commercial entre Civile Immobiliere du 4/6 Rond Point des
Champs
Elysees et Inter Parfums, S.A., 30 Jun 2005, Locaux 4 eme etage droite
(French original)
|
10.119.1
|
Renouvellement
de Bail Commercial entre Civile Immobiliere du 4/6 Rond Point des
Champs
Elysees et Inter Parfums, S.A., 30 Jun 2005, Locaux 4 eme etage droite
(English translation)
|
10.120
|
Renouvellement
de Bail Commercial entre Civile Immobiliere du 4/6 Rond Point des
Champs
Elysees et Inter Parfums, S.A., 30 Jun 2005, Locaux 4 eme etage gauche
(French original)
|
10.120.1
|
Renouvellement
de Bail Commercial entre Civile Immobiliere du 4/6 Rond Point des
Champs
Elysees et Inter Parfums, S.A., 30 Jun 2005, Locaux 4 eme etage gauche
(English translation)
|
Exhibit
No.
|
Description
|
10.121
|
Referred
to as Exhibit 10.1 in the Form 8-K, Form of Underwriting Agreement,
incorporated by reference to Exhibit 1 to the Registration Statement
on
Form S-3, registration number 333-128170, as filed September 8,
2005.
|
Exhibit
No.
|
Description
|
10.122
|
Agreement
dated July 31, 2005 between HSBC Bank USA and Jean Philippe Fragrances,
LLC
|
10.123
|
Bail
Commercial, 39 Avenue Franklin Roosevelt, 75008 Paris, eme etage,
dated
December 15, 2005 [French original]
|
10.123.1
|
Commercial
Lease, 39 Avenue Franklin Roosevelt, 75008 Paris, 2nd
Floor, dated December 15, 2005 [English translation]
|
10.124
|
Fourth
Modification of Lease, portion of 15th
Floor, 551 Fifth Avenue, New York, New York
|
10.125
|
Addendum
effective March 2, 2006 to Agreement dated July 14, 2005 by and among
The
Gap, Inc., Banana Republic LLC, Gap (Apparel) LLC, Gap (ITM), Inc.,
Banana
Republic (Apparel) LLC, Banana Republic (ITM), Inc., Gap (Puerto
Rico),
Inc., and Gap (Canada) Inc., together with their subsidiaries who
operate
stores on the one hand and Inter Parfums, Inc. and its wholly-owned
subsidiary Inter Parfums USA, LLC. (Certain confidential information
in
this Exhibit 10.125 was omitted and filed separately with the Securities
and Exchange Commission with a request for confidential treatment
by Inter
Parfums, Inc).
|
21
|
List
of Subsidiaries
|
23.1
|
Consent
of Mazars LLP
|
23.2
|
Consent
of KPMG LLP
|
31.1
|
Certification
Required by Rule 13a-14 of Chief Executive Officer
|
31.2
|
Certification
Required by Rule 13a-14 of Chief Financial
Officer
|
Exhibit
No.
|
Description
|
32
|
Certification
Required by Section 906 of the Sarbanes-Oxley
Act
|
Exhibit
No.
|
Description
|
10.126
|
Contrat
de Licence de Marques entre QS Holdings SARL and Inter Parfums, S.A.,
executed on 23 March 2006 – French original (Certain confidential
information in this Exhibit 10.126 was omitted and filed separately
with
the Securities and Exchange Commission with a request for confidential
treatment by Inter Parfums, Inc).
|
10.126.1
|
Trademark
License Agreement between QS Holdings SARL and Inter Parfums, S.A.,
executed on 23 March 2006 – English translation (Certain confidential
information in this Exhibit 10.126.1 was omitted and filed separately
with
the Securities and Exchange Commission with a request for confidential
treatment by Inter Parfums, Inc).
|
10.127
|
Avenant
No. 1 Au Contrat de Licence Exclusive du 20 Juin 1997 entre ST Dupont,
S.A. et Inter Parfums, S.A., dated 20 March 2006- French original
(Certain
confidential information in this Exhibit 10.127 was omitted and filed
separately with the Securities and Exchange Commission with a request
for
confidential treatment by Inter Parfums, Inc).
|
10.127.1
|
Amendment
No. 1 to Exclusive License of 20 June 1997 between ST Dupont, S.A.
et
Inter Parfums, S.A., dated 20 March 2006- English translation (Certain
confidential information in this Exhibit 10.127.1 was omitted and
filed
separately with the Securities and Exchange Commission with a request
for
confidential treatment by Inter Parfums,
Inc).
|
Exhibit
No.
|
Description
|
4.21.1
|
Amendment
to the Company’s 2004 Nonemployee Director Stock Option
Plan
|
Exhibit
No.
|
Description
|
10.128
|
License
Agreement Between Van Cleef & Arpels Logistics SA, and Inter Parfums,
S.A., entered into on June 19, 2006 (Certain
confidential information in this Exhibit 10.128 was omitted and filed
separately with the Securities and Exchange Commission with a request
for
confidential treatment by Inter Parfums, Inc).
|
10.128.1
|
Addendum
No. 1 to License Agreement Between Van Cleef & Arpels Logistics SA,
and Inter Parfums, S.A
|
Exhibit
No.
|
Description
|
3.5
|
Articles
of Incorporation of Inter Parfums, Limited
|
4.23
|
Form
of Option Agreement for Options Granted to Executive Officers on
December
15, 2006 with Schedule Option Holders and Number of Options
Granted
|
21
|
List
of Subsidiaries
|
23
|
Consent
of Mazars LLP
|
31.1
|
Certification
Required by Rule 13a-14 of Chief Executive Officer
|
31.2
|
Certification
Required by Rule 13a-14 of Chief Financial Officer
|
32
|
Certification
Required by Section 906 of the Sarbanes-Oxley
Act
|
Exhibit
No.
|
Description
|
|
|
10.129
|
Agreement
between Inter Parfums, S.A. and BNP Paribas, S.A. dated 3 December
2006 -
French original
|
|
|
10.129.1
|
Agreement
between Inter Parfums, S.A. and BNP Paribas, S.A. dated 3 December
2006 -
English translation
|
Exhibit
No.
|
Description
|
|
|
2.4
|
Agreement
of Sale of Lanvin Trademarks between Jeanne Lanvin, S.A and Inter
Parfums,
S.A. dated 30 July 2007 - French Original
|
|
|
2.4.1
|
Agreement
of Sale of Lanvin Trademarks between Jeanne Lanvin, S.A and Inter
Parfums,
S.A. dated 30 July 2007 - English Translation
|
|
|
10.130
|
Agreement
for Technical Assistance between Jeanne Lanvin, S.A and Inter Parfums,
S.A. dated 30 July 2007 - French Original
(Certain
confidential information in this Exhibit 10.130 was omitted and filed
separately with the Securities and Exchange Commission with a request
for
confidential treatment by Inter Parfums, Inc).
|
|
|
10.130.1
|
Agreement
for Technical Assistance between Jeanne Lanvin, S.A and Inter Parfums,
S.A. dated 30 July 2007 - English Translation
(Certain
confidential information in this Exhibit 10.130.1 was omitted and
filed
separately with the Securities and Exchange Commission with a request
for
confidential treatment by Inter Parfums, Inc).
|
|
|
10.131
|
Coexistence
Agreement between Jeanne Lanvin, S.A and Inter Parfums, S.A. dated
30 July
2007- French Original
|
|
|
10.131.1
|
Coexistence
Agreement between Jeanne Lanvin, S.A and Inter Parfums, S.A. dated
30 July
2007- English Translation
|
Exhibit
No.
|
Description
|
|
|
4.21.2
|
Amendment
to the Company’s 2004 Nonemployee Director Stock Option
Plan
|
Exhibit
No.
|
Description
|
|
|
4.24
|
Warrant
Dated July 14, 2005 to Purchase 100,000 shares of Common Stock of
Inter
Parfums, Inc. (filed as exhibit no. 4.2 therein)
|
4.25
|
Warrant
Dated September 1, 2006 to Purchase 100,000 shares of Common Stock
of
Inter Parfums, Inc. (filed as exhibit no. 4.3
therein)
|
Exhibit
No.
|
Description
|
10.132
|
Manufacturing
and License Agreement Between Retail Brand Alliance, Inc., D/B/A
Brooks
Brothers – Licensor and Inter Parfums USA, LLL. – Licensee
Dated
November 2007
(Certain
confidential information in this Exhibit 10.132 was omitted and filed
separately with the Securities and Exchange Commission with a request
for
confidential treatment by Inter Parfums, Inc).
|
4.26
|
Addendum
[France] to 2004 Stock Option Plan
|
4.27
|
Form
of Option Agreement for Options Granted to Executive Officers on
December
26, 2007 with Schedule Option Holders and Number of Options Granted
|
4.28
|
Form
of Option Agreement for Options Granted to Executive Officers on
February
14, 2008 with Schedule Option Holders and Number of Options Granted
|
4.29
|
Form
of Option Agreement for Options Granted to Executive Officers on
February
14, 2008 under French Addendum to Stock Option Plan with Schedule
Option
Holders and Number of Options Granted
|
21
|
List
of Subsidiaries
|
23
|
Consent
of Mazars LLP
|
31.1
|
Certification
Required by Rule 13a-14 of Chief Executive Officer
|
31.2
|
Certification
Required by Rule 13a-14 of Chief Financial Officer
|
32
|
Certification
Required by Section 906 of the Sarbanes-Oxley Act
|
Page
|
|
Report
of Independent Registered Public Accounting Firm
|
F-2
|
Audited
Financial Statements:
|
|
Consolidated
Balance Sheets as of December 31, 2007 and 2006
|
F-3
|
Consolidated
Statements of Income for each of the years in the three-year period
ended
December 31, 2007
|
F-4
|
Consolidated
Statements of Changes in Shareholders’ Equity and Comprehensive Income for
each of the years in the three-year period ended December 31,
2007
|
F-5
|
Consolidated
Statements of Cash Flows for each of the years in the three-year
period
ended December 31, 2007
|
F-6
|
Notes
to Consolidated Financial Statements
|
F-7
|
Financial
Statement Schedule:
|
|
Schedule
II – Valuation and Qualifying Accounts
|
F-25
|
|
2007
|
2006
|
|||||
Assets
|
|||||||
Current
assets:
|
|||||||
Cash
and cash equivalents
|
$
|
90,034
|
$
|
58,247
|
|||
Short-term
investments
|
—
|
12,800
|
|||||
Accounts
receivable, net
|
118,140
|
110,251
|
|||||
Inventories
|
106,022
|
69,537
|
|||||
Receivables,
other
|
5,928
|
2,481
|
|||||
Other
current assets
|
5,253
|
6,137
|
|||||
Income
tax receivable
|
168
|
370
|
|||||
Deferred
tax assets
|
4,300
|
2,494
|
|||||
Total
current assets
|
329,845
|
262,317
|
|||||
Equipment
and leasehold improvements, net
|
7,262
|
6,806
|
|||||
Trademarks,
licenses and other intangible assets, net
|
101,577
|
58,342
|
|||||
Goodwill
|
6,715
|
4,978
|
|||||
Other
assets
|
653
|
602
|
|||||
Total
assets
|
$
|
446,052
|
$
|
333,045
|
|||
Liabilities
and Shareholders’ Equity
|
|||||||
Current
liabilities:
|
|||||||
Loans
payable – banks
|
$
|
7,217
|
$
|
6,033
|
|||
Current
portion of long-term debt
|
16,215
|
4,214
|
|||||
Accounts
payable - trade
|
88,297
|
58,748
|
|||||
Accrued
expenses
|
35,507
|
52,637
|
|||||
Income
taxes payable
|
3,023
|
1,325
|
|||||
Dividends
payable
|
1,026
|
813
|
|||||
Total
current liabilities
|
151,285
|
123,770
|
|||||
Deferred
tax liability
|
4,664
|
2,111
|
|||||
Long-term
debt, less current portion
|
43,518
|
6,555
|
|||||
Put
option
|
—
|
1,262
|
|||||
Minority
interest
|
53,925
|
44,075
|
|||||
Commitments
and contingencies
|
|||||||
Shareholders’
equity:
|
|||||||
Preferred
stock, $0.001 par value. Authorized 1,000,000 shares; none
issued
|
|||||||
Common
stock, $0.001 par value. Authorized 100,000,000 shares; outstanding
20,532,141 and 20,434,792 shares at December 31, 2007 and 2006,
respectively
|
21
|
20
|
|||||
Additional
paid-in capital
|
40,033
|
38,096
|
|||||
Retained
earnings
|
147,995
|
127,834
|
|||||
Accumulated
other comprehensive income
|
30,955
|
15,170
|
|||||
Treasury
stock, at cost, 6,202,637 and 6,247,886 common shares at December
31, 2007
and 2006, respectively
|
(26,344
|
)
|
(25,848
|
)
|
|||
Total
shareholders’ equity
|
192,660
|
155,272
|
|||||
Total
liabilities and shareholders’ equity
|
$
|
446,052
|
$
|
333,045
|
2007
|
2006
|
2005
|
||||||||
Net
sales
|
$
|
389,560
|
$
|
321,054
|
$
|
273,533
|
||||
Cost
of sales
|
160,137
|
143,855
|
115,827
|
|||||||
Gross
margin
|
229,423
|
177,199
|
157,706
|
|||||||
Selling,
general, and administrative
|
181,224
|
141,074
|
126,353
|
|||||||
Impairment
loss
|
868
|
—
|
—
|
|||||||
Income
from operations
|
47,331
|
36,125
|
31,353
|
|||||||
Other
expenses (income):
|
||||||||||
Interest
expense
|
3,667
|
1,797
|
970
|
|||||||
(Gain)
loss on foreign currency
|
219
|
(172
|
)
|
296
|
||||||
Interest
and dividend income
|
(3,166
|
)
|
(2,303
|
)
|
(1,194
|
)
|
||||
Gain
on subsidiary’s issuance of stock
|
(665
|
)
|
(332
|
)
|
(443
|
)
|
||||
55
|
(1,010
|
)
|
(371
|
)
|
||||||
Income
before income taxes and minority interest
|
47,276
|
37,135
|
31,724
|
|||||||
Income
taxes
|
16,675
|
13,201
|
11,133
|
|||||||
Income
before minority interest
|
30,601
|
23,934
|
20,591
|
|||||||
Minority
interest in net income of consolidated subsidiary
|
6,784
|
6,192
|
5,328
|
|||||||
Net
income
|
$
|
23,817
|
$
|
17,742
|
$
|
15,263
|
||||
Net
income per share:
|
||||||||||
Basic
|
$
|
1.16
|
$
|
0.87
|
$
|
0.76
|
||||
Diluted
|
1.14
|
0.86
|
0.75
|
|||||||
Weighted
average number of shares outstanding:
|
||||||||||
Basic
|
20,444,094
|
20,324,309
|
20,078,424
|
|||||||
Diluted
|
20,669,533
|
20,568,492
|
20,486,583
|
Accumulated
|
||||||||||||||||||||||||||||
Additional
|
other
|
|||||||||||||||||||||||||||
Common
stock
|
paid-in
|
Retained
|
Comprehensive
|
comprehensive
|
Treasury
stock
|
|||||||||||||||||||||||
Shares
|
Amount
|
capital
|
earnings
|
income
|
income
|
Shares
|
Amount
|
Total
|
||||||||||||||||||||
Balance –
January 1, 2005
|
19,379,917
|
$
|
19
|
$
|
35,538
|
$
|
100,772
|
$
|
16,431
|
7,064,511
|
$
|
(26,251
|
)
|
$
|
126,509
|
|||||||||||||
Comprehensive
income:
|
||||||||||||||||||||||||||||
Net
income
|
—
|
—
|
—
|
15,263
|
$
|
15,263
|
—
|
—
|
—
|
15,263
|
||||||||||||||||||
Foreign
currency translation adjustments
|
—
|
—
|
—
|
—
|
(12,720
|
)
|
(12,720
|
)
|
—
|
—
|
(12,720
|
)
|
||||||||||||||||
Change
in fair value of derivatives
|
—
|
—
|
—
|
—
|
(137
|
)
|
(137
|
)
|
—
|
—
|
(137
|
)
|
||||||||||||||||
Total
comprehensive income
|
$
|
2,406
|
||||||||||||||||||||||||||
Dividends
|
—
|
—
|
—
|
(3,233
|
)
|
—
|
—
|
—
|
(3,233
|
)
|
||||||||||||||||||
Shares
issued upon exercise of stock options
|
1,048,850
|
1
|
(585
|
)
|
—
|
—
|
(938,200
|
)
|
3,490
|
2,906
|
||||||||||||||||||
Issuance
of warrants
|
—
|
—
|
1,687
|
—
|
—
|
—
|
—
|
1,687
|
||||||||||||||||||||
Shares
received as proceeds of option exercises
|
(176,457
|
)
|
—
|
—
|
—
|
—
|
176,457
|
(2,548
|
)
|
(2,548
|
)
|
|||||||||||||||||
Balance –
December 31, 2005
|
20,252,310
|
20
|
36,640
|
112,802
|
3,574
|
6,302,768
|
(25,309
|
)
|
127,727
|
|||||||||||||||||||
Comprehensive
income:
|
||||||||||||||||||||||||||||
Net
income
|
—
|
—
|
—
|
17,742
|
$
|
17,742
|
—
|
—
|
—
|
17,742
|
||||||||||||||||||
Foreign
currency translation adjustments
|
—
|
—
|
—
|
—
|
11,527
|
11,527
|
—
|
—
|
11,527
|
|||||||||||||||||||
Change
in fair value of derivatives
|
—
|
—
|
—
|
—
|
69
|
69
|
—
|
—
|
69
|
|||||||||||||||||||
Total
comprehensive income
|
$
|
29,338
|
||||||||||||||||||||||||||
Dividends
|
—
|
—
|
—
|
(3,259
|
)
|
—
|
—
|
—
|
(3,259
|
)
|
||||||||||||||||||
Shares
issued upon exercise of stock options
|
227,600
|
—
|
1,380
|
—
|
—
|
(100,000
|
)
|
402
|
1,782
|
|||||||||||||||||||
Stock
compensation
|
—
|
—
|
76
|
549
|
—
|
—
|
—
|
625
|
||||||||||||||||||||
Shares
received as proceeds of option exercises
|
(45,118
|
)
|
—
|
—
|
—
|
—
|
45,118
|
(941
|
)
|
(941
|
)
|
|||||||||||||||||
Balance –
December 31, 2006
|
20,434,792
|
20
|
38,096
|
127,834
|
15,170
|
6,247,886
|
(25,848
|
)
|
155,272
|
|||||||||||||||||||
Comprehensive
income:
|
||||||||||||||||||||||||||||
Net
income
|
—
|
—
|
—
|
23,817
|
$
|
23,817
|
—
|
—
|
—
|
23,817
|
||||||||||||||||||
Foreign
currency translation adjustments
|
—
|
—
|
—
|
—
|
15,816
|
15,816
|
—
|
—
|
15,816
|
|||||||||||||||||||
Change
in fair value of derivatives
|
—
|
—
|
—
|
—
|
(31
|
)
|
(31
|
)
|
—
|
—
|
(31
|
)
|
||||||||||||||||
Total
comprehensive income
|
$
|
39,602
|
||||||||||||||||||||||||||
Dividends
|
—
|
—
|
—
|
(4,093
|
)
|
—
|
—
|
—
|
(4,093
|
)
|
||||||||||||||||||
Shares
issued upon exercise of stock options including income tax benefit
of
$915
|
152,100
|
1
|
1,719
|
—
|
—
|
(100,000
|
)
|
414
|
2,134
|
|||||||||||||||||||
Stock
compensation
|
—
|
—
|
218
|
437
|
—
|
—
|
—
|
655
|
||||||||||||||||||||
Shares
received as proceeds of option exercises
|
(54,751
|
)
|
—
|
—
|
—
|
—
|
54,751
|
(910
|
)
|
(910
|
)
|
|||||||||||||||||
Balance –
December 31, 2007
|
20,532,141
|
$
|
21
|
$
|
40,033
|
$
|
147,995
|
$
|
30,955
|
(1)
|
6,202,637
|
$
|
(26,344
|
)
|
$
|
192,660
|
2007
|
2006
|
2005
|
||||||||
Cash
flows from operating activities:
|
||||||||||
Net
income
|
$
|
23,817
|
$
|
17,742
|
$
|
15,263
|
||||
Adjustments
to reconcile net income to net cash provided by operating
activities:
|
||||||||||
Depreciation
and amortization
|
8,031
|
5,347
|
4,513
|
|||||||
Impairment
of goodwill
|
868
|
—
|
—
|
|||||||
Provision
for doubtful accounts
|
588
|
118
|
585
|
|||||||
Noncash
stock compensation
|
1,096
|
625
|
—
|
|||||||
Minority
interest in net income of consolidated
subsidiary
|
6,784
|
6,192
|
5,328
|
|||||||
Deferred
tax (benefit) provision
|
(657
|
)
|
843
|
(1,410
|
)
|
|||||
Change
in fair value of put options
|
—
|
412
|
19
|
|||||||
Gain
on subsidiary’s issuance of stock
|
(665
|
)
|
(332
|
)
|
(443
|
)
|
||||
(Gain)
loss on sale of trademark
|
—
|
245
|
(150
|
)
|
||||||
Changes
in:
|
||||||||||
Accounts
receivable
|
2,984
|
(18,714
|
)
|
(17,653
|
)
|
|||||
Inventories
|
(28,677
|
)
|
(16,053
|
)
|
5,819
|
|||||
Other
assets
|
(1,602
|
)
|
(1,342
|
)
|
(3,453
|
)
|
||||
Accounts
payable and accrued expenses
|
25,014
|
18,677
|
22,443
|
|||||||
Income
taxes payable, net
|
936
|
(393
|
)
|
(481
|
)
|
|||||
Net
cash provided by operating activities
|
38,517
|
13,367
|
30,380
|
|||||||
Cash
flows from investing activities:
|
||||||||||
Purchases
of short-term investments
|
(300
|
)
|
(6,700
|
)
|
(2,300
|
)
|
||||
Proceeds
from sale of short-term investments
|
13,100
|
11,300
|
2,500
|
|||||||
Purchase
of equipment and leasehold improvements
|
(2,380
|
)
|
(3,452
|
)
|
(2,429
|
)
|
||||
Payment
for intangible assets acquired
|
(58,723
|
)
|
(5,042
|
)
|
(465
|
)
|
||||
Proceeds
from sale of stock of subsidiary
|
2,879
|
2,830
|
2,424
|
|||||||
Payment
for acquisition of minority interests
|
(10,984
|
)
|
—
|
—
|
||||||
Proceeds
from sale of trademark
|
—
|
1,131
|
185
|
|||||||
Net
cash provided by (used in) investing activities
|
(56,408
|
)
|
67
|
(85
|
)
|
|||||
Cash
flows from financing activities:
|
||||||||||
Proceeds
from loans payable – banks
|
762
|
4,974
|
359
|
|||||||
Proceeds
from issuance of long-term debt
|
54,948
|
—
|
—
|
|||||||
Repayment
of long-term debt
|
(10,440
|
)
|
(4,019
|
)
|
(3,979
|
)
|
||||
Purchase
of treasury stock
|
(107
|
)
|
(164
|
)
|
(150
|
)
|
||||
Proceeds
from exercise of options
|
1,331
|
1,004
|
507
|
|||||||
Dividends
paid
|
(3,879
|
)
|
(3,251
|
)
|
(3,005
|
)
|
||||
Dividends
paid to minority interest
|
(1,594
|
)
|
(1,218
|
)
|
(1,106
|
)
|
||||
Net
cash provided by (used in) financing activities
|
41,021
|
(2,674
|
)
|
(7,374
|
)
|
|||||
Effect
of exchange rate changes on cash
|
8,657
|
5,355
|
(4,161
|
)
|
||||||
Net
increase in cash and cash equivalents
|
31,787
|
16,115
|
18,760
|
|||||||
Cash
and cash equivalents – beginning of year
|
58,247
|
42,132
|
23,372
|
|||||||
Cash
and cash equivalents – end of year
|
$
|
90,034
|
$
|
58,247
|
$
|
42,132
|
||||
Supplemental
disclosures of cash flow information:
|
||||||||||
Cash
paid for:
|
||||||||||
Interest
|
$
|
3,872
|
$
|
1,586
|
$
|
593
|
||||
Income
taxes
|
15,211
|
13,227
|
12,593
|
(1) |
The
Company and its Significant Accounting
Policies
|
(a) |
Business
of the Company
|
(b) |
Basis
of
Preparation
|
(c) |
Foreign
Currency Translation
|
(d) |
Cash
and Cash Equivalents
|
(e) |
Short-term
Investments
|
(f) |
Financial
Instruments
|
(g) |
Inventories
|
(h) |
Equipment
and Leasehold
Improvements
|
(i) |
Goodwill
and Other Intangible
Assets
|
December
31,
|
|||||||
2007
|
2006
|
||||||
Balance
- beginning of year
|
$
|
4,978
|
$
|
4,476
|
|||
Goodwill
acquired
|
1,892
|
—
|
|||||
Effect
of changes in foreign currency translation rates
|
713
|
502
|
|||||
Impairment
loss
|
(868
|
)
|
—
|
||||
Balance
- end of year
|
$
|
6,715
|
$
|
4,978
|
(j) |
Revenue
Recognition
|
(k) |
Issuance
of Common Stock by Consolidated
Subsidiary
|
(l) |
Earnings
Per Share
|
Year
ended December 31,
|
||||||||||
2007
|
2006
|
2005
|
||||||||
Numerator:
|
||||||||||
Net
income
|
$
|
23,817
|
$
|
17,742
|
$
|
15,263
|
||||
Effect
of dilutive securities of consolidated subsidiary
|
(270
|
)
|
—
|
—
|
||||||
Numerator
for diluted earnings per share
|
23,547
|
17,742
|
15,263
|
|||||||
Denominator:
|
||||||||||
Weighted
average shares
|
20,444,094
|
20,324,309
|
20,078,424
|
|||||||
Effect
of dilutive securities:
|
||||||||||
Stock
options and warrants
|
225,439
|
244,183
|
408,159
|
|||||||
Denominator
for diluted earnings per share
|
20,669,533
|
20,568,492
|
20,486,583
|
(m) |
Advertising
and Promotion
|
(n) |
Package
Development Costs
|
(o) |
Accounts
Receivable
|
(p) |
Income
Taxes
|
(q) |
Recent
Accounting Pronouncements
|
(r) |
Reclassifications
|
(2) |
Recent
Agreements
|
(a) |
In
November
2007, we entered into exclusive agreements with Retail Brand
Alliance,
Inc., d/b/a/ Brooks Brothers (“Brooks Brothers”) under which will we
design, manufacture and supply personal care products for men
and women to
be sold at Brooks Brothers locations in the United States as
well as a
licensing agreement covering Brooks Brothers stores and specialty
retail
and department stores outside the United States including duty
free and
other travel-related retailers.
|
(b) |
In
July 2007, we acquired the worldwide rights to the Lanvin brand
names and
international trademarks listed in Class 3 from Jeanne Lanvin,
S.A.
(“Lanvin”). Among other items, Class 3 of the international classification
of trademarks goods and services include: soaps, perfumery, essential
oils, cosmetics and hair lotions. We paid €22
million (approximately $29.7 million) in cash for the brand names
and
trademarks and simultaneously terminated our existing license
agreement.
We also agreed to pay to Lanvin a sales based fee for technical
and
creative assistance in new product development to be rendered
by Lanvin in
connection with our use of the trademarks through June 30, 2019.
In
addition, Lanvin has the right to repurchase the brand names
and
trademarks in 2025 for the greater of €70
million or one times the average of the annual sales for the
years ending
December 31, 2023 and 2024.
|
(c) |
In
April 2007, we entered into an exclusive agreement with New
York &
Company, Inc. under which we design and manufacture personal
care products
to be sold at the New York & Company retail locations and on their
website. We are responsible for product development, formula
creation,
packaging and manufacturing while New York & Company is responsible
for marketing and selling in its
stores.
|
(d) |
In
September 2006, IPSA entered into an exclusive, worldwide license
agreement with Van Cleef & Arpels Logistics SA, for the creation,
development and distribution of fragrance and related bath and
body
products under the Van Cleef & Arpels brand and related trademarks.
The agreement runs through December 31, 2018. As an inducement
to enter
into this license agreement, we agreed to pay, in January 2007,
€18
million (approximately $23.4 million) to Van Cleef & Arpels Logistics
SA in a lump sum, up front payment and we agreed to purchase
existing
inventory of approximately $2.1 million held by YSL Beauté, the former
licensee. The asset is included in trademarks, licenses and other
intangible assets on the Company’s consolidated balance sheets and the
liability for the €18 million up front payment is included in accrued
expenses on the accompanying December 31, 2006 balance sheet.
The license
agreement became effective on January 1,
2007.
|
(e) |
In
March 2006, IPSA entered into an exclusive worldwide license
agreement
with Quiksilver, Inc. for the creation, development and distribution
of
fragrance, suncare, skincare and related products under the Roxy
and
Quiksilver brands. The agreement runs through 2017.
|
(f) |
In
July
2005, we entered into an exclusive agreement with The Gap, Inc.
(“Gap”) to
develop, produce, manufacture and distribute personal care and
home
fragrance products for Gap and Banana Republic brand names to
be sold in
Gap and Banana Republic retail stores in the United States and
Canada. On
March 2, 2006, the agreement was amended to include Gap Outlet
and Banana
Republic Factory Stores in the United States and Canada.
|
(3) |
Acquisition
of Minority
Interests
|
(a) |
In
December 2007, we acquired an additional 1.2% interest in IPSA, our
majority owned French subsidiary, from its minority shareholders
for
approximately $6.3 million in cash. The allocation of the purchase
price
was as follows:
|
Trademarks
|
$
|
5,469
|
||
Minority
interest
|
2,724
|
|||
Deferred
tax liability
|
(1,883
|
)
|
||
Total
|
$
|
6,310
|
(b) |
In
June 2007, the minority shareholders of Nickel S.A., a consolidated
subsidiary of the Company, exercised their rights to sell their remaining
32.4% interest in Nickel S.A. to the Company for approximately $4.7
million in cash. The acquisition was accounted for under the purchase
method. The allocation of the purchase price was as
follows:
|
Purchase
price
|
$
|
4,673
|
||
Less
amount recorded for put option liability
|
1,273
|
|||
Subtotal
|
$
|
3,400
|
||
Allocated
as follows:
|
||||
Trademarks
|
$
|
921
|
||
Minority
interest
|
587
|
|||
Goodwill
|
1,892
|
|||
Total
|
$
|
3,400
|
(4) |
Inventories
|
December
31,
|
|||||||
2007
|
2006
|
||||||
Raw
materials and component parts
|
$
|
41,108
|
$
|
27,179
|
|||
Finished
goods
|
64,914
|
42,358
|
|||||
$
|
106,022
|
$
|
69,537
|
(5) |
Equipment
and Leasehold Improvements
|
December
31,
|
|||||||
2007
|
2006
|
||||||
Equipment
|
$
|
15,499
|
$
|
14,253
|
|||
Leasehold
improvements
|
1,963
|
1,496
|
|||||
17,462
|
15,749
|
||||||
Less
accumulated depreciation and amortization
|
10,200
|
8,943
|
|||||
$
|
7,262
|
$
|
6,806
|
(6) |
Trademarks,
Licenses and Other Intangible
Assets
|
Gross
|
Accumulated
|
Net Book
|
||||||||
2007
|
Amount
|
Amortization
|
Value
|
|||||||
Trademarks
(indefinite lives)
|
$
|
7,497
|
$
|
—
|
$
|
7,497
|
||||
Trademarks
(finite lives)
|
54,688
|
115
|
54,573
|
|||||||
Licenses
(finite lives)
|
41,784
|
5,971
|
35,813
|
|||||||
Other
intangible assets (finite lives)
|
13,018
|
9,324
|
3,694
|
|||||||
Subtotal
|
109,490 | 15,410 | 94,080 | |||||||
Total
|
$
|
116,987
|
$
|
15,410
|
$
|
101,577
|
Gross
|
Accumulated
|
Net Book
|
||||||||
2006
|
Amount
|
Amortization
|
Value
|
|||||||
Trademarks
(indefinite lives)
|
$
|
6,246
|
$
|
—
|
$
|
6,246
|
||||
Trademarks
(finite lives)
|
103
|
103
|
—
|
|||||||
Licenses
(finite lives)
|
54,890
|
6,067
|
48,823
|
|||||||
Other
intangible assets (finite lives)
|
11,090
|
7,822
|
3,268
|
|||||||
Subtotal
|
66,083 | 13,992 | 52,091 | |||||||
Total
|
$
|
72,329
|
$
|
13,992
|
$
|
58,337
|
(7) |
Loans
Payable – Banks
|
(8) |
Long-term
Debt
|
December
31,
|
|||||||
2007
|
2006
|
||||||
16
million euro variable rate facility at three month EURIBOR plus 0.60%,
payable in 20 equal quarterly installments
|
$
|
7,066
|
$
|
10,536
|
|||
18
million euro fixed rate facility at 4.1%, payable in 20 quarterly
installments
|
21,622
|
—
|
|||||
22
million euro variable rate facility at three month EURIBOR plus 0.40%,
payable in 20 equal quarterly installments
|
30,767
|
—
|
|||||
Other
|
278
|
233
|
|||||
59,733
|
10,769
|
||||||
Less
current maturities
|
16,215
|
4,214
|
|||||
Total
|
$
|
43,518
|
$
|
6,555
|
(9) |
Commitments
|
(a) |
Leases
|
2008
|
$
|
6,712
|
||
2009
|
6,814
|
|||
2010
|
6,621
|
|||
2011
|
5,061
|
|||
2012
|
1,717
|
|||
Thereafter
|
1,313
|
|||
$
|
28,238
|
(b) |
License
Agreements
|
2008
|
$
|
143,142
|
||
2009
|
150,541
|
|||
2010
|
159,202
|
|||
2011
|
155,148
|
|||
2012
|
162,594
|
|||
Thereafter
|
763,299
|
|||
$
|
1,533,926
|
(10) |
Shareholders’
Equity
|
(a) |
Issuance
of Common Stock by Consolidated
Subsidiary
|
(b) |
Share-Based
Payments:
|
December 31,
|
||||
2005
|
||||
Reported
net income
|
$
|
15,263
|
||
Stock-based
employee compensation determined under the fair value based method,
net of
related tax effects
|
(980
|
)
|
||
Pro
forma net income
|
$
|
14,283
|
||
Income
per share, as reported:
|
||||
Basic
|
$
|
0.76
|
||
Diluted
|
0.75
|
|||
Pro
forma net income per share:
|
||||
Basic
|
0.71
|
|||
Diluted
|
0.70
|
Year ended December 31,
|
|||||||||||||||||||
2007
|
2006
|
2005
|
|||||||||||||||||
Options
|
Weighted
Average
exercise
price
|
Options
|
Weighted
Average
exercise
price
|
Options
|
Weighted
Average
exercise
price
|
||||||||||||||
Shares under
option - beginning of year
|
867,600
|
$
|
16.53
|
985,550
|
$
|
14.03
|
1,842,675
|
$
|
7.51
|
||||||||||
Options
granted
|
96,300
|
19.13
|
181,200
|
19.58
|
202,900
|
15.05
|
|||||||||||||
Options
exercised
|
(152,100
|
)
|
8.01
|
(227,600
|
)
|
7.83
|
(1,048,850
|
)
|
2.77
|
||||||||||
Options
cancelled
|
(7,400
|
)
|
18.91
|
(71,550
|
)
|
17.51
|
(11,175
|
)
|
14.59
|
||||||||||
Shares
under options - end of year
|
804,400
|
18.43
|
867,600
|
16.53
|
985,550
|
14.03
|
Year
Ended December 31,
|
||||||||||
2007
|
2006
|
2005
|
||||||||
Cash
proceeds from stock options exercised
|
$
|
1,331
|
$
|
1,004
|
$
|
507
|
||||
Tax
benefits
|
$
|
915
|
$
|
—
|
$
|
—
|
||||
Intrinsic
value of stock options exercised
|
$
|
1,368
|
$
|
3,028
|
$
|
12,595
|
Options
outstanding
|
||||||||||
|
Number
|
weighted average remaining
|
Options
|
|||||||
Exercise
prices
|
outstanding
|
contractual
life
|
exercisable
|
|||||||
$7.22 –
$7.85
|
10,500
|
0.07
Years
|
10,500
|
|||||||
$14.95
|
160,300
|
2.30
Years
|
160,300
|
|||||||
$15.20
– $15.39
|
169,700
|
1.95
Years
|
169,700
|
|||||||
$16.52
|
2,000
|
3.47
Years
|
500
|
|||||||
$17.24
|
2,000
|
2.95
Years
|
2,000
|
|||||||
$18.87 –
$18.97
|
93,800
|
5.81
Years
|
9,000
|
|||||||
$19.65-$19.85
|
174,500
|
4.97
Years
|
33,000
|
|||||||
$22.77
|
2,000
|
1.01
Years
|
2,000
|
|||||||
$23.05
– $23.06
|
167,600
|
1.00
Years
|
167,600
|
|||||||
$25.24
|
20,000
|
1.12
Years
|
20,000
|
|||||||
$27.01
|
2,000
|
5.41
Years
|
—
|
|||||||
Totals
|
804,400
|
2.87
Years
|
574,600
|
(c) |
Treasury
Stock
|
(d) |
Dividends
|
(11) |
Segments
and Geographic Areas
|
Year ended December 31,
|
||||||||||
2007
|
2006
|
2005
|
||||||||
Net
sales:
|
||||||||||
United
States
|
$
|
58,807
|
$
|
50,980
|
$
|
34,284
|
||||
Europe
|
332,420
|
271,650
|
241,681
|
|||||||
Eliminations
of intercompany sales
|
(1,667
|
)
|
(1,576
|
)
|
(2,432
|
)
|
||||
$
|
389,560
|
$
|
321,054
|
$
|
273,533
|
|||||
Net
income:
|
||||||||||
United
States
|
$
|
2,066
|
$
|
415
|
$
|
(123
|
)
|
|||
Europe
|
21,681
|
17,270
|
15,398
|
|||||||
Eliminations
|
70
|
57
|
(12
|
)
|
||||||
$
|
23,817
|
$
|
17,742
|
$
|
15,263
|
|||||
Depreciation
and amortization expense:
|
||||||||||
United
States
|
$
|
1,076
|
$
|
763
|
$
|
448
|
||||
Europe
|
6,955
|
4,584
|
4,065
|
|||||||
$
|
8,031
|
$
|
5,347
|
$
|
4,513
|
|||||
Interest
and dividend income:
|
||||||||||
United
States
|
$
|
227
|
$
|
596
|
$
|
526
|
||||
Europe
|
2,939
|
1,707
|
668
|
|||||||
$
|
3,166
|
$
|
2,303
|
$
|
1,194
|
|||||
Interest
expense:
|
||||||||||
United
States
|
$
|
366
|
$
|
259
|
$
|
19
|
||||
Europe
|
3,301
|
1,538
|
951
|
|||||||
$
|
3,667
|
$
|
1,797
|
$
|
970
|
|||||
Income
tax expense (benefit):
|
||||||||||
United
States
|
$
|
1,105
|
$
|
(148
|
)
|
$
|
(398
|
)
|
||
Europe
|
15,517
|
13,304
|
11,544
|
|||||||
Eliminations
|
53
|
45
|
(13
|
)
|
||||||
$
|
16,675
|
$
|
13,201
|
$
|
11,133
|
December 31,
|
||||||||||
2007
|
2006
|
2005
|
||||||||
Total
assets:
|
||||||||||
United
States
|
$
|
52,571
|
$
|
61,435
|
$
|
53,072
|
||||
Europe
|
403,351
|
281,378
|
196,931
|
|||||||
Eliminations
of investment in subsidiary
|
(9,870
|
)
|
(9,768
|
)
|
(9,093
|
)
|
||||
$
|
446,052
|
$
|
333,045
|
$
|
240,910
|
|||||
Additions
to long-lived assets:
|
||||||||||
United
States
|
$
|
1,042
|
$
|
1,337
|
$
|
1,985
|
||||
Europe
|
44,125
|
30,862
|
2,596
|
|||||||
|
$
|
45,167
|
$
|
32,199
|
$
|
4,581
|
||||
Total
long-lived assets:
|
||||||||||
United
States
|
$
|
7,342
|
$
|
7,376
|
$
|
6,801
|
||||
Europe
|
108,212
|
62,750
|
33,646
|
|||||||
$
|
115,554
|
$
|
70,126
|
$
|
40,447
|
|||||
Deferred
tax assets:
|
||||||||||
United
States
|
$
|
591
|
$
|
726
|
$
|
840
|
||||
Europe
|
3,709
|
1,768
|
2,171
|
|||||||
$
|
4,300
|
$
|
2,494
|
$
|
3,011
|
Year ended December 31,
|
||||||||||
2007
|
2006
|
2005
|
||||||||
North
America
|
$
|
115,400
|
$
|
107,400
|
$
|
81,800
|
||||
Europe
|
173,200
|
128,300
|
116,800
|
|||||||
Central
and South America
|
28,200
|
24,500
|
21,800
|
|||||||
Middle
East
|
26,100
|
21,900
|
19,800
|
|||||||
Asia
|
43,900
|
37,700
|
32,200
|
|||||||
Other
|
2,800
|
1,300
|
1,100
|
|||||||
$
|
389,600
|
$
|
321,100
|
273,500
|
Year Ended December 31,
|
||||||||||
2007
|
2006
|
2005
|
||||||||
United
States
|
$
|
113,000
|
$
|
104,000
|
$
|
80,000
|
||||
United
Kingdom
|
$
|
28,000
|
$
|
28,000
|
$
|
26,000
|
||||
France
|
$
|
30,000
|
$
|
21,000
|
$
|
17,000
|
(12) |
Income
Taxes
|
Year ended December 31,
|
||||||||||
2007
|
2006
|
2005
|
||||||||
U.S.
operations
|
$
|
3,170
|
$
|
267
|
$
|
(521
|
)
|
|||
Foreign
operations
|
44,106
|
36,868
|
32,245
|
|||||||
$
|
47,276
|
$
|
37,135
|
$
|
31,724
|
Year ended December 31,
|
||||||||||
2007
|
2006
|
2005
|
||||||||
Current:
|
||||||||||
Federal
|
$
|
343
|
$
|
(321
|
)
|
$
|
(19
|
)
|
||
State
and local
|
190
|
60
|
46
|
|||||||
Foreign
|
16,799
|
12,619
|
12,516
|
|||||||
17,332
|
12,358
|
12,543
|
||||||||
Deferred:
|
||||||||||
Federal
|
437
|
(81
|
)
|
(451
|
)
|
|||||
State
and local
|
135
|
195
|
26
|
|||||||
Foreign
|
(1,229
|
)
|
729
|
(985
|
)
|
|||||
(657
|
)
|
843
|
(1,410
|
)
|
||||||
Total
income tax expense
|
$
|
16,675
|
$
|
13,201
|
$
|
11,133
|
December 31,
|
|||||||
2007
|
2006
|
||||||
Deferred
tax assets:
|
|||||||
State
net operating loss carryforwards
|
$
|
832
|
$
|
1,044
|
|||
Federal
net operating loss carryforwards
|
1,490
|
2,269
|
|||||
Foreign
net operating loss carryforwards
|
2,351
|
1,274
|
|||||
Alternative
minimum tax credit carryforwards
|
75
|
75
|
|||||
Inventory
and accounts receivable
|
657
|
249
|
|||||
Profit
sharing
|
277
|
216
|
|||||
Effect
of inventory profit elimination
|
1,308
|
78
|
|||||
Other
|
770
|
859
|
|||||
Total
gross deferred tax assets
|
7,760
|
6,064
|
|||||
Valuation
allowance
|
(3,460
|
)
|
(3,570
|
)
|
|||
Net
deferred tax assets
|
4,300
|
2,494
|
|||||
Deferred
tax liabilities (long-term):
|
|||||||
Property,
plant, and equipment
|
(225
|
)
|
(477
|
)
|
|||
Trademarks
and licenses
|
(4,147
|
)
|
(985
|
)
|
|||
Other
|
(292
|
)
|
(649
|
)
|
|||
Total
deferred tax liabilities
|
(4,664
|
)
|
(2,111
|
)
|
|||
Net
deferred tax assets (liabilities)
|
$
|
(364
|
)
|
$
|
383
|
Year ended December 31,
|
||||||||||
2007
|
2006
|
2005
|
||||||||
Statutory
rates
|
34.0
|
%
|
34.0
|
%
|
34.0
|
%
|
||||
State
and local taxes, net of Federal benefit
|
0.5
|
0.5
|
0.2
|
|||||||
Effect
of foreign taxes in excess of U.S. statutory
rates
|
1.2
|
2.2
|
1.8
|
|||||||
Other
|
(0.4
|
)
|
(1.1
|
)
|
(0.9
|
)
|
||||
Effective
rates
|
35.3
|
%
|
35.6
|
%
|
35.1
|
%
|
Column A
|
Column B
|
Column C
|
Column D
|
Column E
|
||||||||||||
Additions
|
||||||||||||||||
(1)
|
(2)
|
|||||||||||||||
Charged to
|
||||||||||||||||
Balance at
|
Charged to
|
other
|
||||||||||||||
Beginning of
|
costs and
|
accounts –
|
Deductions –
|
Balance at
|
||||||||||||
Description
|
Period
|
expenses
|
describe
|
describe
|
end of period
|
|||||||||||
Year ended December 31, 2007:
|
||||||||||||||||
Allowances
for sales returns and doubtful accounts
|
$
|
2,244
|
589
|
208
|
(b)
|
684
|
(a)
|
2,357
|
||||||||
Year
ended December 31, 2006:
|
||||||||||||||||
Allowances
for sales returns and doubtful accounts
|
$
|
2,257
|
129
|
188
|
(b)
|
330
|
(a)
|
2,244
|
||||||||
Year
ended December 31, 2005:
|
||||||||||||||||
Allowances
for sales returns and doubtful accounts
|
$
|
3,230
|
585
|
(345)
|
(b)
|
1,213
|
(a)
|
2,257
|
(a) |
Write
off of bad debts and sales returns.
|
(b) |
Foreign
currency translation
adjustment.
|
Inter
Parfums, Inc.
|
|||
By:
|
/s/
Jean Madar
|
||
Jean
Madar, Chief Executive Officer
|
|||
Date:
March 3, 2008
|
Signature
|
Title
|
Date
|
||
/s/
Jean Madar
|
Chairman
of the Board of Directors
|
March
3, 2008
|
||
Jean
Madar
|
and
Chief Executive Officer
|
|||
/s/
Russell Greenberg
|
Chief
Financial and Accounting Officer
|
March
7, 2008
|
||
Russell
Greenberg
|
and
Director
|
|||
Director
|
March
__, 2008
|
|||
Philippe
Benacin
|
||||
/s/
Philippe Santi
|
Director
|
March
4, 2008
|
||
Philippe
Santi
|
||||
/s/
Francois Heilbronn
|
Director
|
February
28, 2008
|
||
Francois
Heilbronn
|
||||
/s/
Joseph A. Caccamo
|
Director
|
March
7, 2008
|
||
Joseph
A. Caccamo
|
||||
/s/
Jean Levy
|
Director
|
March
1, 2008
|
||
Jean
Levy
|
||||
Director
|
March
__, 2008
|
|||
Robert
Bensoussan-Torres
|
||||
/s/
Jean Cailliau
|
Director
|
February
27, 2008
|
||
Jean
Cailliau
|
||||
Director
|
March
__, 2008
|
|||
Serge
Rosinoer
|
||||
/s/
Patrick Choël
|
Director
|
February
28, 2008
|
||
Patrick
Choël
|